Here in this high-tech era of 2026, keeping important info backed up and synced should be effortless and something that just happens on its own, automatically, without any actual thought or ongoing human effort.

In many areas of our digital life, that mercifully does Just Work™ in exactly that way. Fire up an email in most modern mail services, and you can stop at any point and find your in-progress draft in that same app on any other device. The same applies to any file you’re finessing within Google Drive or other cloud storage services or document you’re dawdling over in Docs.

One area where seamless syncing somehow still doesn’t occur, though, is in the domain of downloaded documents on Android. If someone sends you a PDF or a Word file and you save it to your phone, that file exists in an archaic-seeming silo — only locally, on that one gadget. And that, of course, means (a) you can’t access it from any other device, and (b) if you misplace your phone or move into a new one at some point along the way, the file will be left behind in time and entirely unavailable.

Well, take a moment to join me in celebration: Amidst all the Gemini gobbledegook that no one asked for (and that often falls somewhere between “pointless” and “actively counterproductive”), Google’s giving us a major upgrade to Android’s backup capabilities right now. It’s a simple-seeming switch buried in your system settings, and it’s up to you to find and activate it.

Once you do, though, those once-orphaned documents on your Android device’s local storage will be perpetually synced and protected, automatically, without any ongoing thought or effort.

All you’ve gotta do is find and flip that one new switch.

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The Android backup lowdown

So, for a quick bit of pertinent context on this: Android’s backup systems have actually come a really long way over the years.

‘Twas a time, y’see, when little to nothing about you would sync and carry over automatically from one Android device to another. Years ago — back in the ancient-seeming prehistoric era of the early 2010s — Android enthusiasts in the know would rely on community-created third-party apps for everything from remembering and resyncing downloaded apps to restoring data from within those apps and onward. And reconfiguring your system preferences would be a whole time-consuming song and dance every single time you reset a device or moved into a new one, as little to nothing would automatically carry over.

Most of that stuff is now effortless and automatic. And, thanks to apps like Google Messages, Calendar, Drive, and Docs, many other areas of important data are also synced on their own at the app level — outside of any system mechanisms.

Locally stored files, however, have remained an awkward omission. To this day, anything you download on any Android device exists only on that one device and isn’t synced or backed up anywhere. The only way that happens is — in a blast-from-the-past twist — if you go out of your way to find and set up a third-party app to handle the heavy lifting.

That brings us to today. Right now, as we speak, Google’s in the midst of sending out a quiet under-the-hood update that (brace yourself…) adds in the option to automatically sync and back up any documents on your device as a native part of Android’s backup setup.

See?

JR Raphael, Foundry

The option is on its way to all devices running 2018’s Android 9 release and higher. (If you’re still using a phone with an Android version older than that, you’re now a whopping eight years out of date, and you have much bigger problems.)

Once the added option is present and available for you, you’re literally lookin’ at 10 seconds to find and activate it.

Lemme show ya how.

Android’s document backup addition

I promise: This couldn’t be much simpler.

No matter what kind of Android device is in front of you, just head into your system settings and open the section called “Accounts and backup,” “Back up or copy data,” or something along those same lines. (The exact wording can vary based on who made your device and when it was released or last updated.)

Either tap the line labeled “Google Backup” or look for an option to “Back up data” via Google Drive. You should then either see a series of options for different areas of available backup right then and there — or, depending on your device, you might have to tap a line labeled “Other device data” (or something similar) to find the full list of possibilities.

However you get there, once you’re lookin’ at that list, you’ll see a newly added line for “Documents” if this latest under-the-hood update has reached you.

JR Raphael, Foundry

And from there, all that’s left is to tap it and enable the switch to include that in your automated backups from that moment forward.

If you aren’t seeing the option yet, don’t panic. Google always sends these under-the-hood updates out bit by bit over time, so the change probably just hasn’t reached your device quite yet. As long as you’re running Android 9 or higher, it’ll get there. Set yourself a reminder to check back once a week or so. Odds are, you’ll see it pretty soon.

Notably, all documents synced in this way are always encrypted for security, and they’re kept in your personal (or, depending on the nature of your account, perhaps company-connected) Google Drive storage. That does mean they’ll count against your overall Google storage total, so keep an eye on your Drive storage total to make sure you’re in solid shape and look to the Google One storage hub if you ever want some simple suggestions for freeing up space.

Speaking of other Google services: If you ever want to keep other types of locally stored non-document files from an Android device synced and available elsewhere, you can easily rely on Google Photos for syncing screenshots and other images — after enabling sync in general, be sure to look in the app’s “Collections” areas to find the “On this device” folder and then flip the toggle to “Backup all device folders” (or get more nuanced and open specific individual on-device folders if you want to sync some but not all of those areas) — and you can still turn to those aforementioned third-party apps for broader syncing of anything else imaginable.

But with documents now being handled automatically and natively, that’s one big worry now out of your hair. Just note that the onus will fall on you to find and flip the switch and actively opt in to the feature on each and every Android device you’re using.

Take 10 seconds to do that, though, and you’ll have one less void in your Android data arena. And you don’t need Gemini to tell you that that can only be a good thing.

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Just in time for the iPhone’s 20th anniversary, Apple is moving closer to becoming a service company. It is set to launch its new deal with Klarna next week and when it does, Apple enthusiasts in the US will effectively be able to subscribe to their favorite Apple hardware, with the cost spread across up to three years.

This matters because when combined with Apple One and Apple’s Creator Studio subscriptions, the Klarna arrangement brings Apple closer to offering a full subscription model for hardware, software, and services. The only thing you don’t get under the new arrangement is AppleCare, for which you’ll allegedly need to pay extra.

Moving closer to hardware-as-a-service

Apple has slowly been transitioning toward hardware-as-a-service for almost a decade. Back then, Forrester analyst Frank Gillet predicted the company would eventually offer bundles of services and products for a monthly, all-in, fee. 

This isn’t quite where we are yet; you still need at least three subscriptions to get close. But, after the better part of a decade, Apple has moved much nearer to the hardware-as-a-service idea.

There are some products reportedly excluded from the arrangement, including MacBook Neo, Apple Watch SE, the entry-level iPad, and iPhone 16. Clearly, Apple sees those products as sufficiently affordable. 

Easy payments for RAM-ageddon

The new Klarna arrangement comes as Apple is forced to increase product prices as AI-driven memory price inflation becomes widely felt across every economy. In theory, I assume, Apple hopes to make its products available to cash-strapped consumers who need new hardware, while also navigating a time of deep economic tumult and uncertainty. It’s thought the company has previously rejected these plans to protect normal hardware sales, but normality is a kingdom we no longer seem to possess. Interesting times. Probable inflation incoming.

“Apple Upgrade lands at precisely the moment Apple needs it,” IDC analyst Francisco Jeronimo wrote in a note seen by Computerworld. “Having just pushed Mac and iPad prices up on the back of the memory shortage, with iPhone increases widely expected in September — as well as the new iPhone foldable expected at $2,500 — Apple’s real risk is that rising prices even further can impact the upgrade cycle.” 

New age, new shopping habits

The introduction of the scheme gives consumers a way to purchase the company’s popular high-end devices when they are introduced — no doubt,at higher cost — this fall. Plus, of course, if it’s good enough for GM, it’s good enough for Apple.

It’s all about attitude, too. From Apple’s perspective, it has done plenty of the groundwork required to convince its customers that subscription payments for things you value are no bad thing. 

Reluctance to embrace “Access Not Ownership’”purchasing models has dropped dramatically since Apple — and CEO Tim Cook — first began banging the drum for services income. Apple’s services stream has now become its second-biggest revenue driver after the iPhone. It has over 1 billion paid subscriptions, and an active hardware installed base of more than 2.5 billion devices globally.

A combination of changed customer habits and external threat means the stars are now aligned for hardware-as-a-service models. “Reframing a device as a low monthly payment protects that [upgrade] cadence and allows Apple to start marketing their products as device-as-a-service to consumers, which no other vendor was ever able to do,” Jeronimo wrote to me. 

There is a one-more-thing aspect to this: the products are effectively being leased, a new approach that will give Apple a stronger grip on EOL devices, helping it grab more of them for refurbishment, resale, and recycling. Over time, this will give the company a much stronger grip on the lucrative second-user market that exists around Apple equipment, even while for almost every consumer product we find the life we want is something we can rent, but probably can’t afford to own.

Managing future risk

The other solid reason to take a partnership approach is risk management. Apple had intended to develop its own buy-now, pay-later scheme via Apple Pay Later, but abandoned that plan as it became riskier with rising bank rates. “Also, by backing the program with Klarna rather than reviving the in-house subscription plan it shelved in 2024, Apple captures the demand upside without taking the credit risk onto its own balance sheet,” Jeronimo said.

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The European Commission has fined Google a total of €890 million ($1 billion) for its breaches of the Digital Market Act (DMA).

Just over half the fine — €460 million — was because Google illegally gave preference to its own services in Google Search results.

The remainder was because in the Google Play store for Android apps, the company prevented app developers from leading consumers to alternative, often cheaper, purchase channels. Under the DMA, app developers who distribute their apps via Google Play or Apple’s App Store should be able to inform customers of alternative offers.

Now Google must give third-party services featuring in its results the same treatment as its own services, and allow developers of apps in the Play Store to communicate about offers both in and outside the Play Store, or face further fines.

The Commission first raised these issues with Google in March 2025. In April of this year, the Commission laid out plans as to how Google should allow other third-parties to share its searches, suggestions that the tech firm firmly resisted. Earlier this month, the Commission also said  Android should be open to other AI agents and not limited to Google’s own Gemini.

Google is not the only US company to have fallen foul of the DMA. In April 2025, Apple was fined €500 million for breaching the Act and, last month, the Commission fired the first shots at cloud hyperscalers Microsoft and Amazon.

The European Commission has fined Google a total of €890 million ($1 billion) for its breaches of the Digital Market Act (DMA).

Just over half the fine — €460 million — was because Google illegally gave preference to its own services in Google Search results.

The remainder was because in the Google Play store for Android apps, the company prevented app developers from leading consumers to alternative, often cheaper, purchase channels. Under the DMA, app developers who distribute their apps via Google Play or Apple’s App Store should be able to inform customers of alternative offers.

Now Google must give third-party services featuring in its results the same treatment as its own services, and allow developers of apps in the Play Store to communicate about offers both in and outside the Play Store, or face further fines.

The Commission first raised these issues with Google in March 2025. In April of this year, the Commission laid out plans as to how Google should allow other third-parties to share its searches, suggestions that the tech firm firmly resisted. Earlier this month, the Commission also said  Android should be open to other AI agents and not limited to Google’s own Gemini.

Google is not the only US company to have fallen foul of the DMA. In April 2025, Apple was fined €500 million for breaching the Act and, last month, the Commission fired the first shots at cloud hyperscalers Microsoft and Amazon.

A global law enforcement crackdown has seized infrastructure serving the massive phishing-as-a-service (PhaaS) group Kratos, as well resulting in the arrest of an unnamed Kratos “developer and technical administrator” in Indonesia. 

The effort was managed by German law enforcement and involved agencies from the US, Indonesia and other countries.

Although a German statement claimed that the Kratos infrastructure “has been completely disabled” and that “Kratos-supported phishing campaigns can no longer be carried out,” cybersecurity analysts and consultants question how much of a dent in enterprise phishing activity will result, and how long it will last.

“A server seizure and a single arrest overseas remove infrastructure, not the intellectual property,” said Frank Dickson, group VP for security at IDC. “PhaaS kits get cloned, forked and resold routinely, and the 1,800 Kratos customers didn’t vanish. They just lost a vendor in a market where vendors get replaced fast.”

He added, “seizing 200-plus servers and arresting the developer pulls a major supplier out of that specific niche. It doesn’t touch the broader phishing economy. For every roach that you squish, there are a hundred that you do not see.”

Noah Kenney, principal consultant at Digital 520, takes an even more pessimistic view, arguing that there might not even be that much of a short-term phishing slowdown. 

“What makes this different from a botnet or ransomware takedown is that the people running the attacks were never part of the organization. Kratos was just a vendor,” Kenney said. “The 1,800 customers who bought it still have their target lists, their sending infrastructure and whatever access they had already established. The tooling went dark, but the people phishing your employees last week are still working, shopping for a replacement that already exists. Enterprises should not read this as a drop in (likely) threat volume.”

One thing that the security community seems to agree on is that Kratos was a major player in the lucrative PhaaS space. But precisely determining the percentage of PhaaS activity controlled by Kratos is impossible, given that Kratos sold their kits to others. Security researchers even disagree on what they should call Kratos kits.

“Microsoft tracks this kit as SneakyLog, others tie it to Sneaky 2FA, and KnowBe4 disputes the lineage entirely. When the security industry cannot agree on what a kit is to be called, that is because renaming and reselling is continuous rather than something that happens after a raid,” Kenney said. “What actually changed this time is the arrest and the [shutdown of the] servers. Standing up new hosting is only a weekend of work, but replacing a developer who understood how to keep an adversary in the middle proxy stable and evasive at scale is harder.”

IDC’s Dickson added that the biggest value from the takedown is in the information gleaned from the seized servers. 

“Kratos operated in the adversary-in-the-middle category, generating convincing fake Microsoft 365 login pages that harvest session tokens and step past MFA, the exact technique behind a lot of the business email compromise activity of the past two years,” he said. “I would love to see what law enforcement does with the customer list. That, my friend, is gold.”

Regardless, Assaf Morag, a cybersecurity researcher at Flare, dubbed the German crackdown “symbolic,” given Kratos’ reach within phishing circles. 

He argued that the very nature of software makes it all but impossible to shut down in a meaningful way.

“Although this is malicious infrastructure, it is still software, and modern development and deployment practices make it relatively quick to rebuild or replicate,” he said. “Demand is likely to shift to competing providers, allowing the ecosystem to recover even if this particular operation has been disrupted.”

Pieter Arntz, malware intelligence researcher at Malwarebytes, agreed that the crackdown is disruptive but not definitive. 

“This appears to be more than a routine website seizure. The reporting points to a PhaaS platform with centralized infrastructure, subscription-style customers, and Microsoft 365 session theft / MFA-bypass tooling, so taking down the backend likely hurts many downstream affiliates at once. In that sense, it is a meaningful disruption to the phishing ecosystem, not just one campaign,” Arntz said.

But, he added, “a rebrand or partial re-emergence is plausible, which is the historical pattern for PhaaS operations. Even if the core infrastructure is gone, the code, customer lists, and operator tradecraft can survive.”

This means that customers and affiliates can shift to other phishing kits, he said, so it’s likely that the takedown will create a temporary decline in Kratos-specific activity, but probably not a lasting reduction in phishing overall.

Flavio Villanustre, CISO for the LexisNexis Risk Solutions Group, also concluded that the impact of this crackdown will be short-lived. 

“For each criminal organization that is dismantled, ten new ones pop out of nowhere. Unless there is a coordinated international effort by more than a few countries, this is a whack-a-mole exercise,” he said. “These are all loosely connected individuals and akin to a lernaean hydra, with two heads growing whenever you chop off one. Their leadership emerges from their lines organically without a real center of control. This makes it almost impossible to completely eliminate these criminal organizations.”

Just in time for the iPhone’s 20th anniversary, Apple is moving closer to becoming a service company. It is set to launch its new deal with Klarna next week and when it does, Apple enthusiasts in the US will effectively be able to subscribe to their favorite Apple hardware, with the cost spread across up to three years.

This matters because when combined with Apple One and Apple’s Creator Studio subscriptions, the Klarna arrangement brings Apple closer to offering a full subscription model for hardware, software, and services. The only thing you don’t get under the new arrangement is AppleCare, for which you’ll allegedly need to pay extra.

Moving closer to hardware-as-a-service

Apple has slowly been transitioning toward hardware-as-a-service for almost a decade. Back then, Forrester analyst Frank Gillet predicted the company would eventually offer bundles of services and products for a monthly, all-in, fee. 

This isn’t quite where we are yet; you still need at least three subscriptions to get close. But, after the better part of a decade, Apple has moved much nearer to the hardware-as-a-service idea.

There are some products reportedly excluded from the arrangement, including MacBook Neo, Apple Watch SE, the entry-level iPad, and iPhone 16. Clearly, Apple sees those products as sufficiently affordable. 

Easy payments for RAM-ageddon

The new Klarna arrangement comes as Apple is forced to increase product prices as AI-driven memory price inflation becomes widely felt across every economy. In theory, I assume, Apple hopes to make its products available to cash-strapped consumers who need new hardware, while also navigating a time of deep economic tumult and uncertainty. It’s thought the company has previously rejected these plans to protect normal hardware sales, but normality is a kingdom we no longer seem to possess. Interesting times. Probable inflation incoming.

“Apple Upgrade lands at precisely the moment Apple needs it,” IDC analyst Francisco Jeronimo wrote in a note seen by Computerworld. “Having just pushed Mac and iPad prices up on the back of the memory shortage, with iPhone increases widely expected in September — as well as the new iPhone foldable expected at $2,500 — Apple’s real risk is that rising prices even further can impact the upgrade cycle.” 

New age, new shopping habits

The introduction of the scheme gives consumers a way to purchase the company’s popular high-end devices when they are introduced — no doubt,at higher cost — this fall. Plus, of course, if it’s good enough for GM, it’s good enough for Apple.

It’s all about attitude, too. From Apple’s perspective, it has done plenty of the groundwork required to convince its customers that subscription payments for things you value are no bad thing. 

Reluctance to embrace “Access Not Ownership’”purchasing models has dropped dramatically since Apple — and CEO Tim Cook — first began banging the drum for services income. Apple’s services stream has now become its second-biggest revenue driver after the iPhone. It has over 1 billion paid subscriptions, and an active hardware installed base of more than 2.5 billion devices globally.

A combination of changed customer habits and external threat means the stars are now aligned for hardware-as-a-service models. “Reframing a device as a low monthly payment protects that [upgrade] cadence and allows Apple to start marketing their products as device-as-a-service to consumers, which no other vendor was ever able to do,” Jeronimo wrote to me. 

There is a one-more-thing aspect to this: the products are effectively being leased, a new approach that will give Apple a stronger grip on EOL devices, helping it grab more of them for refurbishment, resale, and recycling. Over time, this will give the company a much stronger grip on the lucrative second-user market that exists around Apple equipment, even while for almost every consumer product we find the life we want is something we can rent, but probably can’t afford to own.

Managing future risk

The other solid reason to take a partnership approach is risk management. Apple had intended to develop its own buy-now, pay-later scheme via Apple Pay Later, but abandoned that plan as it became riskier with rising bank rates. “Also, by backing the program with Klarna rather than reviving the in-house subscription plan it shelved in 2024, Apple captures the demand upside without taking the credit risk onto its own balance sheet,” Jeronimo said.

You can follow me on social media! Join me on BlueSky,  LinkedIn, Mastodon and subscribe to The Core.

At Cisco, VP of engineering Jason Andrews deals with all the same technical issues as every other company deploying AI, including ensuring it’s governed, secure, and integrating multiple data sources, legacy systems, and AI models.

But these issues are relatively straightforward compared to the bigger challenges relating to the fast pace of change, specifically how AI can touch and transform nearly every aspect of business.

“We’re thinking about it every day,” he says. “My belief is we’ll be seeing a massive acceleration of everything.”

In coding, for example, he’s witnessing productivity increases up to 110% with AI assistants. “I can build apps or custom integrations a lot faster,” he adds.

And the real benefit of AI isn’t just in speeding up individual steps in a process, but in making AI the core of a new business process. But building it from scratch puts even more pressure on organizations trying to get employees up to speed on new ways of doing things.

“We want to move fast, train people, and get them onboarded,” he says. “But what I thought AI was going to do for my organization nine months ago is different from three months ago.” So by the time something is rolled out, it’s changed three times.

“I struggle with the change management aspect,” he says. “The legacy model of change management isn’t fast enough. How do you create that constant learning?”

One of the ways Cisco approaches it is to create communities where people can talk about these issues and share best practices and governance, and you have to keep people’s minds open that every day is going to be different than the last, Andrews adds.

Testing the AI waters

Cisco isn’t the only organization struggling with change management in the face of the AI tsunami. In a survey of 2,000 global CEOs IBM released in May, 83% of them said AI success depends more on adoption than on the technology itself, and 77% said talent and technology roles are converging.

“Thanks to Claude Code, our entire development cadence is exponentially greater than a year ago,” says Andrew Johnson, CIO at Brownstein Hyatt Farber Schreck, a Denver-based law firm with about 700 employees and clients around the US. But, as with Cisco, the biggest challenge isn’t technical.

“In our industry, with our circumstances, we’re probably less constrained by technical capability than organizational constraints, culture, aptitude, the need to bind people to technology, and what helps me and the client,” he says. “There’s a tremendous amount of cultural shift that has to happen in our organization, which is far more demanding of my attention and complexity of thought than the technical stuff.”

Companies that bill by the hour, such as law firms, may face additional challenges as attorney productivity increases because billable hours might go down. Alternatively, the total number of cases could go up as litigation becomes less expensive. Either way, firms that adapt will see competitive advantage, and the rest will fall behind, putting more pressure on the need for change management.

“If people can’t embrace technology, we won’t be able to get a lot of value out of it,” says Johnson. “I’m talking to people about adapting their way of work. There are certainly a lot of people intrigued and anxious to dive in. They recognize the connection between the potential of the technology and what we do.”

But helping everyone see that connection and then working with them to change their habits is difficult, and requires solid relationships and good communications. “That’s been far more of a bottleneck for us,” he says.

To address the issue, the firm has developed a network of technology champions who also understand the legal side of the business. “Now we need lawyers who know how to use the technology and can articulate these things to the people we’re trying to reach,” Johnson says.

But change management is only one leadership bottleneck slowing AI adoption. Companies also struggle with figuring out their vision for AI, with slow decision-making, and a tendency to focus on the past instead of the future.

Vision and strategy

In another survey, this time of 950 business leaders released by Grant Thornton in April, 51% said strategy is the biggest driver of ROI when it comes to AI adoption, but 79% of operations leaders said they don’t have a fully developed and implemented AI strategy.

“Having leadership understanding why AI is needed and what objective they’re trying to achieve is very important,” says Shivi Verma, senior manager of engineering at Docusign. “Sometimes leadership doesn’t have a strategy for their organization on how AI should be adopted. Many times it’s bottom-up, which creates a chaotic experience.”

When Docusign started adopting gen AI, different teams and organizational units wanted to go in different directions. “All were coming up with their own strategy and tooling,” he says. So Docusign brought business leaders together to understand the pain points, and decide on the technology.

“Getting requirements and placing a bet on a specific technology was important,” he says, “as well as pivoting to a different technology if needed.”

In order to adapt to changes, the company wanted to have a nimble approach, starting with smaller use cases, with power users, and problem areas.

“We try to plan for four to six months,” he adds. “We set expectations for our leadership that we place a bet with a specific technology, but want to be able to pivot.”

Today, the leadership challenge front lines have moved yet again, to agentic AI. “Folks are creating their own agents and deciding their own permissions,” Verma adds. “We’re still coming up with a governance strategy.”

Slow decision-making

When it comes to AI deployments, Dan Diasio, global AI consulting leader at EY and CTO for its US consulting business, admits he’s a bottleneck.

There’s a great deal of interest in what AI can do, and using a variety of new AI tools. But since the firm deals with sensitive client data, safety is paramount. It’s a slow process, but important to build secure infrastructure, and to have trust in the technology. “That’s a reasonable bottleneck that makes sense,” he says.

Trust in the tools they work with is essential because clients expect it. “Every tool we use has to go through a detailed security and information privacy impact assessment, as well as a whole other set of controls so they can be used appropriately and safely,” he says.

These reviews can take a lot of time, though, and in the age of AI, speed is a highly valued currency. So how do you balance the two, when safety reviews can require input from a lot of different stakeholders and be extremely time intensive?

“We’ve stood up a team to be able to quickly certify and address a variety of platforms,” Diasio says. “Instead of working with different departments in the way we used to, we’ve started identifying representatives from different departments into a cohort. Decisions we used to make in months now take weeks.”

According to a West Monroe survey of more than 1,200 leaders released earlier this year, slow decision-making is already showing up on the bottom line. Nearly three out of four leaders said their organizations lose up to 5% of annual revenue to slow decision-making and delayed execution.

And the top reasons for the delays? According to 40% of the managers surveyed, the problem was the skills gaps of overwhelmed teams, and 35% pointed to layers of management or approvals. Nearly half said they’re spending 10 to 25% of their time on rework, excessive approvals, and unnecessary meetings, and more than half say up to 50% of their projects fail or lose momentum to delays.

Focus on the future, not the past

When it comes to the decision about where to apply AI in an organization, the tendency, Diasio says, is to turn to the experts with the most expertise in the business. But these are the same people most likely to focus on improving on what they’re already doing.

“And that often blinds people to what’s possible in the future,” he says. “That becomes a significant bottleneck.” So the solution is to revamp the decision-making process around the new reality.

“What we see some advanced companies do is give people who don’t understand the process but understand the technology equal footing with people who don’t understand the technology but understand the process,” he says. “A lot of companies are disproportionately focused on just addressing their operating model right now.”

Instead of focusing on what they’re currently doing, AI-native companies will start with a focus on the customer, he says. This shift in focus isn’t likely to show up immediately on the bottom line, or result in the highest possible number of pilots going into production.

“If leaders are in a position where they’re justifying the use of a technology to the board or their CFO, they become a bottleneck when they start demonstrating their value in terms of the number of things they’re doing,” Diasio says.

But 150 or 200 use cases deployed into production may feel like progress, like things are happening in the organization. But all these use cases are a waste of time and money if they’re applied to existing processes that don’t move the needle. “We see that happen in organizations today,” he says. “Maybe we need to reinvent the processes.”

It’s no secret that companies will need to change in order to adapt to AI. Deloitte recently surveyed 660 global technology leaders and 81% said their current operating model can deploy and govern AI enterprise-wide, but 75% also said their organization must change its operating model within the next 12 to 18 months to drive greater value.

AI ROI is real, says China Widener, Deloitte vice chair and US tech, media, and telecom industry leader. But it’s currently weighted toward efficiency gains, with broader business transformation and revenue upside still developing.

Another Deloitte survey showed that the clearest results from AI were in productivity, with 66% of organizations reporting gains, and cost efficiency, with 40% saying AI reduces costs. “However, revenue impact is still emerging,” says Widener. “Only one in five companies says AI is driving top-line growth today.” But optimism prevails, with 74% expecting it to do so in the future.

Here in this high-tech era of 2026, keeping important info backed up and synced should be effortless and something that just happens on its own, automatically, without any actual thought or ongoing human effort.

In many areas of our digital life, that mercifully does Just Work™ in exactly that way. Fire up an email in most modern mail services, and you can stop at any point and find your in-progress draft in that same app on any other device. The same applies to any file you’re finessing within Google Drive or other cloud storage services or document you’re dawdling over in Docs.

One area where seamless syncing somehow still doesn’t occur, though, is in the domain of downloaded documents on Android. If someone sends you a PDF or a Word file and you save it to your phone, that file exists in an archaic-seeming silo — only locally, on that one gadget. And that, of course, means (a) you can’t access it from any other device, and (b) if you misplace your phone or move into a new one at some point along the way, the file will be left behind in time and entirely unavailable.

Well, take a moment to join me in celebration: Amidst all the Gemini gobbledegook that no one asked for (and that often falls somewhere between “pointless” and “actively counterproductive”), Google’s giving us a major upgrade to Android’s backup capabilities right now. It’s a simple-seeming switch buried in your system settings, and it’s up to you to find and activate it.

Once you do, though, those once-orphaned documents on your Android device’s local storage will be perpetually synced and protected, automatically, without any ongoing thought or effort.

All you’ve gotta do is find and flip that one new switch.

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The Android backup lowdown

So, for a quick bit of pertinent context on this: Android’s backup systems have actually come a really long way over the years.

‘Twas a time, y’see, when little to nothing about you would sync and carry over automatically from one Android device to another. Years ago — back in the ancient-seeming prehistoric era of the early 2010s — Android enthusiasts in the know would rely on community-created third-party apps for everything from remembering and resyncing downloaded apps to restoring data from within those apps and onward. And reconfiguring your system preferences would be a whole time-consuming song and dance every single time you reset a device or moved into a new one, as little to nothing would automatically carry over.

Most of that stuff is now effortless and automatic. And, thanks to apps like Google Messages, Calendar, Drive, and Docs, many other areas of important data are also synced on their own at the app level — outside of any system mechanisms.

Locally stored files, however, have remained an awkward omission. To this day, anything you download on any Android device exists only on that one device and isn’t synced or backed up anywhere. The only way that happens is — in a blast-from-the-past twist — if you go out of your way to find and set up a third-party app to handle the heavy lifting.

That brings us to today. Right now, as we speak, Google’s in the midst of sending out a quiet under-the-hood update that (brace yourself…) adds in the option to automatically sync and back up any documents on your device as a native part of Android’s backup setup.

See?

JR Raphael, Foundry

The option is on its way to all devices running 2018’s Android 9 release and higher. (If you’re still using a phone with an Android version older than that, you’re now a whopping eight years out of date, and you have much bigger problems.)

Once the added option is present and available for you, you’re literally lookin’ at 10 seconds to find and activate it.

Lemme show ya how.

Android’s document backup addition

I promise: This couldn’t be much simpler.

No matter what kind of Android device is in front of you, just head into your system settings and open the section called “Accounts and backup,” “Back up or copy data,” or something along those same lines. (The exact wording can vary based on who made your device and when it was released or last updated.)

Either tap the line labeled “Google Backup” or look for an option to “Back up data” via Google Drive. You should then either see a series of options for different areas of available backup right then and there — or, depending on your device, you might have to tap a line labeled “Other device data” (or something similar) to find the full list of possibilities.

However you get there, once you’re lookin’ at that list, you’ll see a newly added line for “Documents” if this latest under-the-hood update has reached you.

JR Raphael, Foundry

And from there, all that’s left is to tap it and enable the switch to include that in your automated backups from that moment forward.

If you aren’t seeing the option yet, don’t panic. Google always sends these under-the-hood updates out bit by bit over time, so the change probably just hasn’t reached your device quite yet. As long as you’re running Android 9 or higher, it’ll get there. Set yourself a reminder to check back once a week or so. Odds are, you’ll see it pretty soon.

Notably, all documents synced in this way are always encrypted for security, and they’re kept in your personal (or, depending on the nature of your account, perhaps company-connected) Google Drive storage. That does mean they’ll count against your overall Google storage total, so keep an eye on your Drive storage total to make sure you’re in solid shape and look to the Google One storage hub if you ever want some simple suggestions for freeing up space.

Speaking of other Google services: If you ever want to keep other types of locally stored non-document files from an Android device synced and available elsewhere, you can easily rely on Google Photos for syncing screenshots and other images — after enabling sync in general, be sure to look in the app’s “Collections” areas to find the “On this device” folder and then flip the toggle to “Backup all device folders” (or get more nuanced and open specific individual on-device folders if you want to sync some but not all of those areas) — and you can still turn to those aforementioned third-party apps for broader syncing of anything else imaginable.

But with documents now being handled automatically and natively, that’s one big worry now out of your hair. Just note that the onus will fall on you to find and flip the switch and actively opt in to the feature on each and every Android device you’re using.

Take 10 seconds to do that, though, and you’ll have one less void in your Android data arena. And you don’t need Gemini to tell you that that can only be a good thing.

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Security operations centers (SOCs) have spent years struggling under the weight of growing alert volumes, expanding attack surfaces, and chronic staffing shortages. Now artificial intelligence is adding a new complication: not just more information, but more machine-generated information that must itself be evaluated.

“There is an asymmetry here because you now have to parse through a lot of AI slop to get to, ‘Okay, is this real or not?’” Fernando Montenegro, vice president and practice lead at The Futurum Group, tells CSO.

His observation captures a growing concern among security leaders. AI is helping attackers and defenders move faster, but it is also creating new forms of cognitive burden for the humans tasked with separating signal from noise.

As AI accelerates vulnerability discovery and enables more automated reconnaissance and exploitation, defenders are increasingly responsible for overseeing systems whose outputs can be difficult to interpret or verify. The challenge is not simply more work. It is that the volume, speed, and complexity of that work are increasing simultaneously.

Yet experts who study and advise SOCs reject the idea that collapse is inevitable. Instead, they describe an industry entering a difficult transition that could reshape how security teams operate and how humans and machines share responsibility for defense.

The vulnerability surge is exposing years of security debt

One of the most immediate concerns is the possibility that AI dramatically increases the number of vulnerabilities organizations must identify and remediate.

Chris Crowley, a longtime cybersecurity instructor and SOC expert, argues that organizations are facing the consequences of years of accumulated technology debt.

“A lot of what we’re going to have to account for in the next couple of years is a technology debt of vulnerable software that has been deployed because it’s good enough to solve the problem, but then there are all these latent cyber issues, flaws, vulnerabilities that weren’t discovered prior to deployment,” he tells CSO.

AI-assisted vulnerability discovery has the potential to expose those weaknesses at a pace defenders have never experienced before.

“The compression of work that is being dropped on us is unprecedented,” Crowley says. “We’ve just been ignoring it for decades.”

He does not believe AI will necessarily create entirely new classes of vulnerabilities. Instead, he expects defenders to confront much larger volumes of familiar problems.

“We’re going to have 100 of these simultaneously,” he says, referring to the kinds of high-priority vulnerabilities security teams traditionally handle one at a time.

The AI challenge for many SOCs may be less a novelty problem than a volume problem. Security teams already know how to patch systems, prioritize remediation, and respond to critical exposures. What changes is the scale and speed at which those demands arrive.

Organizations with mature patching, prioritization, escalation, and response processes may struggle but adapt. Organizations that have treated security operations as a bare-minimum compliance function may find themselves overwhelmed.

For CISOs, Crowley says, that means treating “patch now” less as an occasional emergency state and more as a permanent operating posture. As AI accelerates vulnerability discovery, the distinction between routine maintenance and crisis response may continue to blur.

He compares the situation to disaster recovery planning. Organizations that wait until a crisis arrives to establish staffing plans, escalation paths, and remediation processes may discover there is not enough help available.

Cognitive overload may become the defining challenge

While vulnerability discovery receives much of the attention, Montenegro believes security leaders need a broader framework for understanding AI’s impact.

Organizations should think about AI through three lenses, he says: security for AI, AI for security, and security from AI. The first involves protecting AI systems. The second involves using AI to improve defensive operations. The third asks what happens when adversaries use AI against the organization.

For SOCs, all three categories are beginning to overlap.

As AI makes it easier to create reports, assessments, vulnerability submissions, and other operational artifacts, humans remain responsible for determining whether that information is accurate and useful.

“It becomes much easier to generate content,” Montenegro says, “but if you’re going to review that content as a human, the onus on you now is that much larger.”

The result is a new form of cognitive overload. Security professionals may spend increasing amounts of time evaluating machine-generated information instead of conducting higher-value security work.

Organizations can increasingly use AI to summarize reports, evaluate alerts, and assist with investigations, but humans remain responsible for validating the results.

“We’re not at the stage yet where people are comfortable” handing off critical decisions entirely to AI, he says.

That leaves defenders caught between two competing realities: AI is creating more information to process, but AI is also becoming one of the few viable tools for managing that growing workload.

For Montenegro, the principle should be to automate tasks, not roles. AI can absorb repetitive investigative steps, but organizations should be cautious about removing humans from the process entirely.

The risk, he says, is that if organizations hide too much complexity behind automated outputs, analysts may lose opportunities to develop the domain knowledge needed to advance.

“How is that professional who is reacting to those alerts growing as a professional?” he says.

The gap between mature and struggling SOCs may widen

Not every organization will experience the impact of AI in the same way.

John Hubbard, senior cybersecurity consultant and SANS instructor, believes the industry’s response will largely depend on how well organizations have prepared for operational stress before AI arrives at scale.

“I would roughly break security operations teams into two camps,” Hubbard tells CSO. “There are the ones that are definitely struggling, are already overwhelmed. And then some are doing really well.”

The struggling organizations tend to be understaffed, underfunded, undertrained, or dependent on ad hoc processes. Every incident feels different, forcing teams to improvise under pressure.

“Getting hit with something like this can certainly be an accelerant for burnout if they weren’t already experiencing it,” Hubbard says.

By contrast, mature security teams have already invested in processes, training, exercises, and automation. “The teams that are doing a really solid job now are probably not super overwhelmed because they’ve developed the processes and procedures to be ready for this kind of thing,” Hubbard says.

He compares successful SOCs to fire departments. Firefighters cannot predict exactly where the next emergency will occur, but they know how to respond because they have rehearsed those responses repeatedly.

“The teams that kind of can react like a fire department are the ones that are getting it right,” he says.

Those organizations conduct tabletop exercises, adversary emulation exercises, red-team assessments, and incident response drills. As a result, they can absorb additional workload without descending into panic.

Burnout remains the industry’s most difficult problem

Despite widespread concern about AI-enabled attacks, none of the experts view AI solely as a threat. Several argue that AI will become essential for helping defenders cope with the challenges it creates.

Jose-Marie Griffiths, president emerita and former CIO of Dakota State University, believes AI can help security teams sift through overwhelming volumes of information and identify the signals that matter most.

“People who work in SOCs are now seeing overwhelming volumes of data, and they’re getting fatigued,” Griffiths tells CSO.

AI can help automate portions of analysis, validate alerts, and improve visibility into complex environments. But Griffiths cautions that some AI-assisted vulnerability discovery tools are also producing large numbers of false positives.

That matters because false positives do not eliminate work. They create it. As organizations confront escalating volumes of findings, distinguishing genuine risk from erroneous results may become as important as discovering vulnerabilities in the first place.

The experts agree that technology alone will not determine outcomes. People will.

Crowley argues that cybersecurity professionals must recognize that uncertainty is intrinsic to the profession. “We are the group that deals with uncertainty,” he says. “That’s really and truly what cybersecurity is.”

That reality places responsibility on both individuals and organizations. Analysts need mechanisms for managing stress. Teams need to recognize when colleagues are approaching their limits. Managers need to establish healthy escalation practices and realistic expectations.

Hubbard rejects the notion that burnout is inevitable.

“It is not a foregone conclusion that security operations jobs have to be a painful grind that everyone hates,” he says.

He has seen organizations where employees remain engaged for years because leaders actively manage workload, create supportive cultures, and encourage open communication.

That includes making it safe for analysts to admit when they have reached their limits. “If people are unwilling to say, ‘I’m maxed out right now, and I’m going crazy,’ that’s going to be the thing that breaks a lot of teams,” Hubbard says.

Pay alone may not solve the problem. Crowley pointed to SANS/SOC survey findings showing that compensation ranked fourth among retention factors, behind meaningful work, training, and professional development.

The future SOC may look very different

Griffiths believes organizations will need to respond not only with better technology but with structural changes. Traditional tiered SOC models may need to evolve into more collaborative teams with diverse expertise working together in real-time.

“I think we’re going to have to eliminate the hierarchies a little bit and have teams of people with different expertise working together,” she says.

She also argues that organizations should invest in human expertise rather than simply increasing AI consumption. “Buy engineers, not tokens,” she says.

Professional networks and peer support will matter as much as any tool, Griffiths says, because defenders need trusted communities where they can compare notes, share practices, and avoid facing sustained pressure in isolation.

If there is a consensus emerging among experts, it is that AI is exposing weaknesses that already existed.

The staffing shortages, alert fatigue, burnout, and process failures affecting SOCs did not begin with generative AI. AI is simply amplifying them.

At the same time, AI is providing new tools that may help organizations manage those very challenges.

The future SOC may spend less time manually triaging alerts and more time validating automated findings, conducting threat hunting, and making strategic decisions. Human expertise may increasingly be paired with AI systems that act as operational partners.

The transition will not be painless. Some teams will struggle. Some practitioners may leave the field. Others will adapt and thrive.

“In a way,” Griffiths says, “we’re turning the whole SOC inside out.”

Montenegro sees the transition as a cybersecurity version of the Red Queen effect: defenders and attackers must keep running simply to stay in place.

Borrowing from science-fiction author William Gibson, Montenegro offered perhaps the simplest description of the industry’s current moment: “The future is already here. It’s just unevenly distributed.”

For security leaders, that future is arriving in the form of AI-generated vulnerabilities, AI-assisted investigations, and AI-enabled adversaries. The question is no longer whether security operations centers will change. It is whether organizations can adapt quickly enough to keep pace.

I keep seeing a version of the same scene. A CEO has a question about AI. It is a real question, the kind that will shape where the company spends the next two years. The CEO does not bring it to the CIO. They bring it to a data leader two levels down, or to a vendor who presented at a conference, or to an AI specialist a board member recommended. The CIO finds out the strategy is forming when a slide shows up that they did not build. By then, the direction is already half-set, and the CIO is being asked to react to it rather than shape it.

I want to be precise about what is happening, because it is easy to misread. The CIO has not been removed from anything. Title intact, budget intact, seat at the table intact. What has changed is quieter. On one of the most consequential technology conversations the company will have this decade, the CIO is being routed around. The work still flows through them eventually. The thinking no longer starts with them.

I have watched this happen to capable people who would have given the CEO a better answer than the person who was asked. That is what makes it worth naming. This is not a competence gap. It is a positioning gap, and positioning gaps close in the wrong direction if you ignore them long enough.

How the routing actually starts

The routing does not begin with a decision to exclude anyone. It begins with a CEO who is anxious about AI and looking for someone who sounds certain. AI is moving fast enough that executives feel the pressure to have a point of view before they have earned one. That pressure usually arrives secondhand, from a board member or a peer on the golf course describing what is working at their company. So the CEO goes looking for someone who will confirm the answer they already want to hear, and they keep going back to whoever gives it to them.

Here is where many technology leaders lose the thread. For years, the safe posture in the CIO seat was measured caution. You raised the risks, you flagged the integration cost, you asked who owns the data and what the compliance exposure looks like. That posture built credibility in an era when the failure mode was moving too fast on technology nobody understood. With AI, the same posture reads as drag. A CEO who is being told by three vendors that “the future is already here” does not want to hear why they should slow down and be cautious. They hear caution as losing the race, and they go find a point of view somewhere else.

The data leaders, vendors and specialists who get the call are not necessarily more capable. They are more available with a confident answer. A vendor’s whole job is to arrive with conviction. A data scientist who has shipped one impressive model carries more apparent authority on AI, in that moment, than a CIO who runs the entire estate but talks about AI the way they talk about every other risk. The CEO is not weighing depth against depth. They are weighing the person who said yes against the person who said it depends.

Once that pattern sets, it compounds. The CEO who got a satisfying answer from the data leader goes back to the data leader. The vendor who shaped the first conversation gets invited into the second. Each loop the CIO is not in makes the next one easier to run without them. The org chart still says the CIO owns technology strategy. The actual conversation has relocated.

What it costs before anyone notices

The cost shows up late, which is exactly why it is dangerous. For a while nothing looks broken. The CIO is still delivering. The AI initiatives are still landing on their plate to execute. The damage is happening upstream, in the room where the bets get made, and the CIO is not in that room.

I have seen what arrives downstream when the strategy was set without the person who has to run it. A model gets championed that the data cannot actually support. A vendor commitment gets made that locks the company into an architecture the CIO would have flagged in the first meeting. An agent gets deployed inside a business unit, with executive blessing, and the CIO inherits accountability for it months later without ever having shaped how it was governed. The recent IBM finding that CIOs are increasingly held accountable for AI they do not fully control is the visible end of this. The invisible front end is the conversation the CIO was routed around, the one where the accountability got created in the first place.

What I find most corrosive is what it does to the CIO’s standing over time. Every initiative the CIO executes but did not shape reinforces a story about what the CIO is for. They become the person who runs the technology other people decided on. That is a fine description of an order taker and a poor description of a strategic leader, and CEOs do not promote, fund, or defend order takers when budgets tighten. The routing-around does not just cost the company a worse AI strategy. It quietly recasts the CIO as the implementer of everyone else’s thinking, and that recasting is hard to reverse once the executive team has internalized it.

What the leaders who stayed in the conversation did

The technology leaders I have watched hold their position on AI did one thing first. They stopped leading with caution and started leading with a point of view. Not a reckless one. A real, defensible position on where AI creates value in their specific business and where it does not, delivered with the same conviction the vendors bring, before the CEO went looking elsewhere for it. They made themselves the person with the clearest answer, which is the role the routing-around was filling with someone else.

That requires giving up a posture that felt safe for a long time. The CIOs who made the shift accepted that on AI, being right and cautious is worth less than being early and directional. They formed a view ahead of being asked. They walked into the CEO’s office with where we should place our AI bets and why, rather than waiting to be handed someone else’s bets to pressure-test. The difference is whether you are the author of the strategy or its editor, and CEOs route around editors.

They also changed how they talk about risk. Instead of presenting risk as the reason to slow down, they folded it into the recommendation. The data is not ready for that use case, so here is the use case where it is ready, and here is what we do in parallel to unlock the first one. That framing keeps the CIO inside the conversation as the person making AI happen responsibly, rather than the person standing outside it explaining why it is hard. Same expertise, opposite effect on whether the CEO keeps coming back.

None of this is about pushing the data leaders and specialists out. The strongest CIOs I know pulled those people closer and brought them into the room under their own framing, so that when the CEO wanted the specialist’s input, it arrived through the CIO rather than around them. They made themselves the orchestrator of the AI conversation instead of one of its casualties.

If you are a technology leader right now, the question worth sitting with is not whether you are good at AI. You probably are. The question is whether the most important AI conversations in your company are still starting with you, or whether you have quietly become the person they get handed to after the thinking is done. That answer is set in rooms you may not be in, and the only way to find out is to ask who your CEO called the last three times AI came up. If the answer is not you, the role is still yours. The conversation has already started leaving.

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As AI use ratchets up, demand for data center capacity is higher than it’s ever been. But New York State is telling the industry: Not so fast.

New York Governor Kathy Hochul this week signed an Executive Order described as the “nation’s first moratorium” on new hyperscale data centers, massive factories that typically comprise thousands of servers devouring tens or hundreds of megawatts of power.

During this up to one year pause, the state will halt issuance of environmental permits for data centers as it develops a regulatory framework to protect ratepayers, the energy grid, the environment, and local communities.

Like other states, New York is seeing “unprecedented” demand for data center development that would ultimately require “massive amounts” of energy and water, Hochul noted. And community backlash seems to be accelerating at the same pace.

This is “a symptom of a bigger, nationwide issue,” said Matt Kimball, VP and principal analyst for data center technologies at Moor Insights & Strategy. “Compute demand is far outpacing the grid,” prompting state and local leaders to pause and figure out how to manage things more effectively.

Creating a blueprint for local development, community support

New York already requires data centers to pay more for energy, or to supply their own, to keep costs affordable for residents. Hochul also plans to pursue legislation that would repeal sales tax exemptions for massive data centers already existing in the state.

During the moratorium, New York will develop a “Generic Environmental Impact Statement” (GEIS) to assess the potential environmental impacts of data center construction and operation, including their water and energy demands and impact on air quality. Once it’s lifted, new data center projects will only be allowed to proceed if they strictly observe state, zoning, and other local approvals.

On a shorter 60-day timeline, the state will issue a Community Investment Framework (CIF) to provide guidance to local governments negotiating large-scale data center deals, and to ensure operators are investing in and partnering with host communities and workforces. This will set standardized expectations for projects and establish baseline thresholds for data center operators’ investment into local communities.

Notably, New York is proposing a contribution of $1 million per megawatt (MW) of anticipated utility demand per project. Thus, 50 megawatts of use would require data center operators to reinvest $50 million into their host community; 400 megawatts would require $400 million.

The framework will include ‘Good Neighbor Commitments’ around landscaping, design, and mitigation of noise and light pollution; labor commitments to give organized labor “a seat at the table” to determine wage standards, local hiring, and workforce development; and a community investment fund to support the host community’s “long-term economic vitality and quality of life.”

Data center operators, for instance, could provide direct financial support to host communities, or invest in public infrastructure, housing improvements, workforce development and training programs, or in broadband expansion.

“Having a published playbook for how to make this work across a state versus having to negotiate this on a county-by-county basis should be a win for everybody,” Moor’s Kimball noted.

Separately, New York is also considering establishing a fund that would require data centers to invest in the state’s aging grid infrastructure and support new clean energy procurement.

What enterprises and other states should be watching

Realistically, a data center buildout takes anywhere from 3 to 5 years from the point of site selection to turning on the switch for the first time, Kimball pointed out. The one-year moratorium doesn’t do too much for that.

What matters more is what New York does during that pause, he noted, for example, establishing a regulatory framework to re-price the cost of hyperscale deployment, determining costs for grid upgrades or “bring your own power” expectations, developing requirements for more formalized operator contributions to the local community, or considering the repeal of tax exemptions.

“And really, this subsidizing angle is the biggest,” said Kimball. States across the country have been subsidizing buildouts to get data center business for years. “This could signal the beginning of the end of those subsidies for many states.”

For enterprise IT leaders, the headline is the signal that power and permitting are now “first-order variables” for infrastructure strategies, right alongside cost and latency requirements, said Kimball.

So, if an enterprise’s cloud or co-location strategy or roadmap assumes hyperlocal capacity, that assumption now carries some risk. CIOs and IT leaders should therefore work with providers to gain more clarity on regional capacity.

The moratorium could result in some “border-hopping,” with enterprises hosting local servers in adjacent states like Pennsylvania, Connecticut, or New Jersey, but that’s not likely to be widespread, Kimball noted.

The realistic regional impact will be “more of a slow squeeze rather than a shock,” he said. This could result in tighter colocation availability and firmer pricing in the New York Metropolitan area over the next few years. Cloud providers may also steer new AI capacity to regions like Georgia, Ohio, Texas, and Utah, where power and permitting are more predictable.

An inflection point, but more trickle-down than direct impact

Indeed, noted Jeremy Roberts, senior director for research and content at Info-Tech Research Group, the moratorium is an “inflection point” and a “way to placate an increasingly angry public,”.

People don’t like the fact that, beyond the initial build, data centers don’t create many jobs, they take up a lot of space, they use a significant amount of power and resources, and they can be “noisy and smelly.”

However, the impact of the moratorium is likely going to be “macro” for everyday enterprises, as New York is specifically targeting hyperscale data centers.

“If you were planning on building a data center in New York and your name is not [Microsoft CEO] Satya Nadella, it’s probably not going to affect you,” said Roberts.

But the consequences of the move will certainly trickle down, for instance, with AI device or hardware purchases supplanting software acquisition. Roberts pointed to IBM’s history-making stock plunge this week, which the company attributed to enterprise buyers diverting IT budgets away from software and mainframes to stockpile AI hardware like servers and memory chips to get ahead of anticipated supply issues and price increases.

If enterprises plan to invest in anything that uses storage or CPUs, they will be paying more in the future, Roberts said. “It’s a symptom of a problem you’re going to feel.”

That said, constraints usually inspire innovation; if a hyperscaler can’t build a 50MW data center, it will likely find ways to string together smaller data centers or adapt in other ways. This could “percolate” across the industry, Roberts said. “People are endlessly creative.”

As AI use ratchets up, demand for data center capacity is higher than it’s ever been. But New York State is telling the industry: Not so fast.

New York Governor Kathy Hochul this week signed an Executive Order described as the “nation’s first moratorium” on new hyperscale data centers, massive factories that typically comprise thousands of servers devouring tens or hundreds of megawatts of power.

During this up to one year pause, the state will halt issuance of environmental permits for data centers as it develops a regulatory framework to protect ratepayers, the energy grid, the environment, and local communities.

Like other states, New York is seeing “unprecedented” demand for data center development that would ultimately require “massive amounts” of energy and water, Hochul noted. And community backlash seems to be accelerating at the same pace.

This is “a symptom of a bigger, nationwide issue,” said Matt Kimball, VP and principal analyst for data center technologies at Moor Insights & Strategy. “Compute demand is far outpacing the grid,” prompting state and local leaders to pause and figure out how to manage things more effectively.

Creating a blueprint for local development, community support

New York already requires data centers to pay more for energy, or to supply their own, to keep costs affordable for residents. Hochul also plans to pursue legislation that would repeal sales tax exemptions for massive data centers already existing in the state.

During the moratorium, New York will develop a “Generic Environmental Impact Statement” (GEIS) to assess the potential environmental impacts of data center construction and operation, including their water and energy demands and impact on air quality. Once it’s lifted, new data center projects will only be allowed to proceed if they strictly observe state, zoning, and other local approvals.

On a shorter 60-day timeline, the state will issue a Community Investment Framework (CIF) to provide guidance to local governments negotiating large-scale data center deals, and to ensure operators are investing in and partnering with host communities and workforces. This will set standardized expectations for projects and establish baseline thresholds for data center operators’ investment into local communities.

Notably, New York is proposing a contribution of $1 million per megawatt (MW) of anticipated utility demand per project. Thus, 50 megawatts of use would require data center operators to reinvest $50 million into their host community; 400 megawatts would require $400 million.

The framework will include ‘Good Neighbor Commitments’ around landscaping, design, and mitigation of noise and light pollution; labor commitments to give organized labor “a seat at the table” to determine wage standards, local hiring, and workforce development; and a community investment fund to support the host community’s “long-term economic vitality and quality of life.”

Data center operators, for instance, could provide direct financial support to host communities, or invest in public infrastructure, housing improvements, workforce development and training programs, or in broadband expansion.

“Having a published playbook for how to make this work across a state versus having to negotiate this on a county-by-county basis should be a win for everybody,” Moor’s Kimball noted.

Separately, New York is also considering establishing a fund that would require data centers to invest in the state’s aging grid infrastructure and support new clean energy procurement.

What enterprises and other states should be watching

Realistically, a data center buildout takes anywhere from 3 to 5 years from the point of site selection to turning on the switch for the first time, Kimball pointed out. The one-year moratorium doesn’t do too much for that.

What matters more is what New York does during that pause, he noted, for example, establishing a regulatory framework to re-price the cost of hyperscale deployment, determining costs for grid upgrades or “bring your own power” expectations, developing requirements for more formalized operator contributions to the local community, or considering the repeal of tax exemptions.

“And really, this subsidizing angle is the biggest,” said Kimball. States across the country have been subsidizing buildouts to get data center business for years. “This could signal the beginning of the end of those subsidies for many states.”

For enterprise IT leaders, the headline is the signal that power and permitting are now “first-order variables” for infrastructure strategies, right alongside cost and latency requirements, said Kimball.

So, if an enterprise’s cloud or co-location strategy or roadmap assumes hyperlocal capacity, that assumption now carries some risk. CIOs and IT leaders should therefore work with providers to gain more clarity on regional capacity.

The moratorium could result in some “border-hopping,” with enterprises hosting local servers in adjacent states like Pennsylvania, Connecticut, or New Jersey, but that’s not likely to be widespread, Kimball noted.

The realistic regional impact will be “more of a slow squeeze rather than a shock,” he said. This could result in tighter colocation availability and firmer pricing in the New York Metropolitan area over the next few years. Cloud providers may also steer new AI capacity to regions like Georgia, Ohio, Texas, and Utah, where power and permitting are more predictable.

An inflection point, but more trickle-down than direct impact

Indeed, noted Jeremy Roberts, senior director for research and content at Info-Tech Research Group, the moratorium is an “inflection point” and a “way to placate an increasingly angry public,”.

People don’t like the fact that, beyond the initial build, data centers don’t create many jobs, they take up a lot of space, they use a significant amount of power and resources, and they can be “noisy and smelly.”

However, the impact of the moratorium is likely going to be “macro” for everyday enterprises, as New York is specifically targeting hyperscale data centers.

“If you were planning on building a data center in New York and your name is not [Microsoft CEO] Satya Nadella, it’s probably not going to affect you,” said Roberts.

But the consequences of the move will certainly trickle down, for instance, with AI device or hardware purchases supplanting software acquisition. Roberts pointed to IBM’s history-making stock plunge this week, which the company attributed to enterprise buyers diverting IT budgets away from software and mainframes to stockpile AI hardware like servers and memory chips to get ahead of anticipated supply issues and price increases.

If enterprises plan to invest in anything that uses storage or CPUs, they will be paying more in the future, Roberts said. “It’s a symptom of a problem you’re going to feel.”

That said, constraints usually inspire innovation; if a hyperscaler can’t build a 50MW data center, it will likely find ways to string together smaller data centers or adapt in other ways. This could “percolate” across the industry, Roberts said. “People are endlessly creative.”

This article originally appeared on NetworkWorld.

Chinese tech giant Huawei is reportedly entering the DRAM manufacturing business in a bid to cash in on the insane profitability of memory sales.

Three firms – Micron Technology, SK hynix, and Samsung Electronics — account for 95% of the DRAM on the market worldwide. The rest is small players, mostly in China. One of them, CXMT, is gearing to make a run for the market and try and take a little bit of their business. But it is a small player, especially compared to Huawei.

Huawei’s strategy is complex. It is working with various entities to circumvent the U.S. trade sanctions specifically targeting it. According to SemiconductorInsider on X.com, the Chinese government and DRAM chip maker Swaysure (formed in 2022) are planning to introduce a DRAM manufacturing plant with a capacity of 140,000 wafers per month.

For perspective, Samsung manufacturers approximately 500,000 wafers per month, and Micron makes about 250,000 wafers per month.

It all fits in perfectly with Beijing’s drive for semiconductor self-reliance uh especially after all of the U.S. sanctions. And it would be US interference, not Huawei’s inexperienced with making memory that will be its greatest challenge, says one analyst.

“Their biggest problem will be tooling up, since the US has a lot of sway over the world’s semiconductor equipment makers, and it’s using that sway to prevent tools from being shipped to China,” said Jim Handy, president of Objective Analysis.

Handy said he hears that Huawei and Swaysure are working to produce DRAM starting at 28nm.  With that process they ought to be able to make 8Gb chips that yield reasonably but he doubts that they will be able to make HBM with that process, though.

Since he doesn’t know how far along they are in the process, Handy doesn’t know when something could come to market.  “They may be on the cusp of shipping something, or they may be a couple of years away, but I don’t think they will wait any longer than that, so let’s say 2028.  If there’s still a shortage in 2028, they are likely to ramp as hard as they can to get to something like 2-5% of the market by 2030.  If the shortage ends before then, they will probably take a much longer time,” he said.

Google DeepMind CEO Demis Hassabis is pushing for the US AI industry to self-regulate, with the support of government, as a starting point for an international creating shared international standards. In a blog post, he called for a focus on artificial general intelligence (AGI) and national security. 

But it is precisely that focus on national security that may make the results of such an effort, assuming it happens, less than palatable outside of the US.

“The rapid progress we’re seeing in AI requires a new approach to testing frontier AI model capabilities that is dynamic, adaptable, and rigorous,” Hassabis wrote. “The US is well positioned, given its economic and technical standing, to take the first step in developing such a framework. It could establish a new Standards Body modelled on a federally overseen public-private partnership or self-regulatory organization, much like the Financial Industry Regulatory Authority (FINRA), with a board that includes independent leading technical experts and open-source representatives.”

He noted, however, that the funding would need to be substantial, and would most likely come from industry, to allow the new body to attract world-class technical talent and obtain the necessary compute resources for large-scale testing.

Hassabis proposed that the organization “be responsible for developing assessment protocols and working with appropriate federal agencies and the US National Labs to conduct testing in areas relevant to national security,” and that AI vendor participants be encouraged to adopt best practices such as publishing model cards with technical details, maintaining strong internal cybersecurity, vetting key personnel, and providing sufficient resourcing for safety and security research.

This is not the first time Hassabis has expressed worries about AGI. 

DeepMind was involved in an earlier US government initiative evaluating AI safety, alongside Microsoft and xAI (now SpaceXAI) working with the Center for AI Standards and Innovation (CAISI), a division of the US Department of Commerce. It allowed CAISI to conduct pre-deployment evaluations and targeted research to “better assess frontier AI capabilities and advance the state of AI security.”  

The rest of the world may have concerns

Analysts and consultants were mixed about the move, with most expressing concerns about whether an industry-focused group would prioritize the public’s best interests.

“Self-regulation is not viable because it implies everyone is able to regulate themselves and will do so in line with the best interests of the public. Most tech vendors don’t have the capacity to self-regulate. They would just prefer a set of rules within which they can operate,” said Gartner VP analyst Nader Henein. “For-profit organizations are required to do what is best for their shareholders, and external regulation ensures that those organizations are never in a conflict of interest where they have to choose between what is good for their shareholders and what is good for the public.”

And, said Sanchit Vir Gogia, chief analyst at Greyhound Research, given the international nature of AI models, an effort coordinated by the US government might alienate other countries. 

“National security is the proposal’s accelerator in Washington and its poison pill abroad: the framing that opens the only gate available at home invites foreign capitals to read the institution as an instrument of American strategy,” he pointed out.

“The map is already plural,” he said. “Brussels switches on enforcement powers over general-purpose models [starting in August 2026], London runs the AI Security Institute, and Beijing licenses on its own terms. California and New York have legislated for frontier models at home. The durable route is shared technical evidence with sovereign enforcement, sealed through mutual recognition rather than deference, with India and the other major non-Western markets holding authorship rather than seats.”

Gogia added that the rules enacted by even such a group may not address all of the key concerns of enterprise IT. A US government effort along the lines that Hassabis is proposing would result in testing that “sits close to intelligence and industrial policy, and those functions will not stay neatly separated. A model can pass every catastrophic-risk test and still fail the enterprise on privacy, reliability, and liability,” he noted.

Walmart’s former director of cybersecurity Steven Eric Fisher, who is now an independent cybersecurity consultant, said he found the proposal “well-intentioned, but it addresses a highly polarized topic at a time when commercial interests carry unprecedented political influence, which is not always applied benevolently.”

He added, “an exclusive US standard that is not globally respected or enforceable would likely fail to achieve its core purpose and would place US companies at a competitive disadvantage.”

Aman Mahapatra, chief strategy officer for Tribeca Softtech, a New York City-based technology consulting firm, said that a deep dive into how FINRA operates today is illustrative of what IT leaders can expect from this effort, assuming the industry adopts that model.

“When the CEOs of the five companies that would be regulated are also the primary drafters of the standards, the standards will reflect those companies’ interests. FINRA has an independent board, but the operational reality is that member firm perspectives dominate the working groups that write the actual rules,” he said. “There is no reason to expect an AI equivalent to work differently, and every reason to expect it to work worse, because AI standardization is happening faster than any industry has ever attempted to standardize itself, and speed is the enemy of independent oversight.”

Carmi Levy, an independent technology analyst, was even more emphatically opposed to the Hassabis proposal.

“Asking Big Tech companies to self-police is analogous to allowing foxes to guard the henhouse. It hasn’t worked to date, and it won’t work going forward. Expecting these organizations to somehow change their ways at this point in time represents the height of naïve thinking,” Levy said. “The framework proposed by Demis Hassabis is a self-serving roadmap for an industry bent on racing to the AI horizon regardless of the harms caused along the way. It is impossible to quantify the dangers to broader society should frameworks allowing self-regulation become the norm.”

Some love the proposal

An almost completely opposite stance came from Yuri Goryunov, CIO of consulting firm Acceligence, who applauded the proposed move.

“This is one of the rare setups where industry self-regulation has a real shot, and enterprise IT should be enthusiastically rooting for it,” he said. “It fails when harms are externalized, such as in social media content moderation. Or when the overseer outsources judgment to the overseen, such as the FAA’s delegation to Boeing before the 737 MAX. It works when everyone in the industry shares the catastrophic downside.”

He suggested, however, that the best precedent here isn’t FINRA, it’s INPO, the Institute of Nuclear Power Operations, which the nuclear industry created within months of the 1979 Three Mile Island partial reactor meltdown “on the logic that an accident anywhere is an accident everywhere. INPO peer-reviews every US plant, its evaluations move insurance premiums, and it sits on top of the NRC’s statutory floor. That is a public-private stack very close to what Hassabis is describing. Frontier AI has the same structure: one lab’s catastrophic failure brings regulation down on all of them.”

For enterprise CIOs and other IT executives, Goryunov said, that model has the potential for being a big win.

“Today, every enterprise duplicates the same AI diligence of red-teaming, eval suites, governance committees and each does so with less information than any certifying body would have,” Goryunov said. “A credible standards regime does for AI what UL did for electrical equipment and SOC2 did for cloud: it converts an unknowable risk into a procurable product and gives boards a defensible standard of care. That’s not red tape. That’s peace of mind with an audit trail.”

However, Mahapatra said, “the countervailing view is that the alternative to industry-led standards is probably not thoughtful legislation. It is probably no standards, or state-by-state fragmentation, or the current pattern of ex-post enforcement actions where regulators surface concerns years after harm has already occurred.”

Thus, he noted, “Hassabis is making the reasonable argument that imperfect fast standards are better than perfect slow ones, and there is genuine merit to that view for topics like agent identity, evaluation methodology, and interoperability, which are exactly the areas OpenClaw is also targeting.”

Google DeepMind CEO Demis Hassabis is pushing for the US AI industry to self-regulate, with the support of government, as a starting point for an international creating shared international standards. In a blog post, he called for a focus on artificial general intelligence (AGI) and national security. 

But it is precisely that focus on national security that may make the results of such an effort, assuming it happens, less than palatable outside of the US.

“The rapid progress we’re seeing in AI requires a new approach to testing frontier AI model capabilities that is dynamic, adaptable, and rigorous,” Hassabis wrote. “The US is well positioned, given its economic and technical standing, to take the first step in developing such a framework. It could establish a new Standards Body modelled on a federally overseen public-private partnership or self-regulatory organization, much like the Financial Industry Regulatory Authority (FINRA), with a board that includes independent leading technical experts and open-source representatives.”

He noted, however, that the funding would need to be substantial, and would most likely come from industry, to allow the new body to attract world-class technical talent and obtain the necessary compute resources for large-scale testing.

Hassabis proposed that the organization “be responsible for developing assessment protocols and working with appropriate federal agencies and the US National Labs to conduct testing in areas relevant to national security,” and that AI vendor participants be encouraged to adopt best practices such as publishing model cards with technical details, maintaining strong internal cybersecurity, vetting key personnel, and providing sufficient resourcing for safety and security research.

This is not the first time Hassabis has expressed worries about AGI. 

DeepMind was involved in an earlier US government initiative evaluating AI safety, alongside Microsoft and xAI (now SpaceXAI) working with the Center for AI Standards and Innovation (CAISI), a division of the US Department of Commerce. It allowed CAISI to conduct pre-deployment evaluations and targeted research to “better assess frontier AI capabilities and advance the state of AI security.”  

The rest of the world may have concerns

Analysts and consultants were mixed about the move, with most expressing concerns about whether an industry-focused group would prioritize the public’s best interests.

“Self-regulation is not viable because it implies everyone is able to regulate themselves and will do so in line with the best interests of the public. Most tech vendors don’t have the capacity to self-regulate. They would just prefer a set of rules within which they can operate,” said Gartner VP analyst Nader Henein. “For-profit organizations are required to do what is best for their shareholders, and external regulation ensures that those organizations are never in a conflict of interest where they have to choose between what is good for their shareholders and what is good for the public.”

And, said Sanchit Vir Gogia, chief analyst at Greyhound Research, given the international nature of AI models, an effort coordinated by the US government might alienate other countries. 

“National security is the proposal’s accelerator in Washington and its poison pill abroad: the framing that opens the only gate available at home invites foreign capitals to read the institution as an instrument of American strategy,” he pointed out.

“The map is already plural,” he said. “Brussels switches on enforcement powers over general-purpose models [starting in August 2026], London runs the AI Security Institute, and Beijing licenses on its own terms. California and New York have legislated for frontier models at home. The durable route is shared technical evidence with sovereign enforcement, sealed through mutual recognition rather than deference, with India and the other major non-Western markets holding authorship rather than seats.”

Gogia added that the rules enacted by even such a group may not address all of the key concerns of enterprise IT. A US government effort along the lines that Hassabis is proposing would result in testing that “sits close to intelligence and industrial policy, and those functions will not stay neatly separated. A model can pass every catastrophic-risk test and still fail the enterprise on privacy, reliability, and liability,” he noted.

Walmart’s former director of cybersecurity Steven Eric Fisher, who is now an independent cybersecurity consultant, said he found the proposal “well-intentioned, but it addresses a highly polarized topic at a time when commercial interests carry unprecedented political influence, which is not always applied benevolently.”

He added, “an exclusive US standard that is not globally respected or enforceable would likely fail to achieve its core purpose and would place US companies at a competitive disadvantage.”

Aman Mahapatra, chief strategy officer for Tribeca Softtech, a New York City-based technology consulting firm, said that a deep dive into how FINRA operates today is illustrative of what IT leaders can expect from this effort, assuming the industry adopts that model.

“When the CEOs of the five companies that would be regulated are also the primary drafters of the standards, the standards will reflect those companies’ interests. FINRA has an independent board, but the operational reality is that member firm perspectives dominate the working groups that write the actual rules,” he said. “There is no reason to expect an AI equivalent to work differently, and every reason to expect it to work worse, because AI standardization is happening faster than any industry has ever attempted to standardize itself, and speed is the enemy of independent oversight.”

Carmi Levy, an independent technology analyst, was even more emphatically opposed to the Hassabis proposal.

“Asking Big Tech companies to self-police is analogous to allowing foxes to guard the henhouse. It hasn’t worked to date, and it won’t work going forward. Expecting these organizations to somehow change their ways at this point in time represents the height of naïve thinking,” Levy said. “The framework proposed by Demis Hassabis is a self-serving roadmap for an industry bent on racing to the AI horizon regardless of the harms caused along the way. It is impossible to quantify the dangers to broader society should frameworks allowing self-regulation become the norm.”

Some love the proposal

An almost completely opposite stance came from Yuri Goryunov, CIO of consulting firm Acceligence, who applauded the proposed move.

“This is one of the rare setups where industry self-regulation has a real shot, and enterprise IT should be enthusiastically rooting for it,” he said. “It fails when harms are externalized, such as in social media content moderation. Or when the overseer outsources judgment to the overseen, such as the FAA’s delegation to Boeing before the 737 MAX. It works when everyone in the industry shares the catastrophic downside.”

He suggested, however, that the best precedent here isn’t FINRA, it’s INPO, the Institute of Nuclear Power Operations, which the nuclear industry created within months of the 1979 Three Mile Island partial reactor meltdown “on the logic that an accident anywhere is an accident everywhere. INPO peer-reviews every US plant, its evaluations move insurance premiums, and it sits on top of the NRC’s statutory floor. That is a public-private stack very close to what Hassabis is describing. Frontier AI has the same structure: one lab’s catastrophic failure brings regulation down on all of them.”

For enterprise CIOs and other IT executives, Goryunov said, that model has the potential for being a big win.

“Today, every enterprise duplicates the same AI diligence of red-teaming, eval suites, governance committees and each does so with less information than any certifying body would have,” Goryunov said. “A credible standards regime does for AI what UL did for electrical equipment and SOC2 did for cloud: it converts an unknowable risk into a procurable product and gives boards a defensible standard of care. That’s not red tape. That’s peace of mind with an audit trail.”

However, Mahapatra said, “the countervailing view is that the alternative to industry-led standards is probably not thoughtful legislation. It is probably no standards, or state-by-state fragmentation, or the current pattern of ex-post enforcement actions where regulators surface concerns years after harm has already occurred.”

Thus, he noted, “Hassabis is making the reasonable argument that imperfect fast standards are better than perfect slow ones, and there is genuine merit to that view for topics like agent identity, evaluation methodology, and interoperability, which are exactly the areas OpenClaw is also targeting.”

This article first appeared on CIO.

It’s not so much generosity that’s behind Anthropic’s decision to extend free access to its most advanced model, Fable, for paid subscribers until July 19, analysts say. Its a last-minute move to grab users, data and model evaluation results.

After the free-access period, Anthropic plans to convert Fable to a pay-per-use model, at $10 per million input tokens and a whopping $50 for 1 million output tokens.

That is double the price of its next most advanced model, Opus 4.8, for input and output tokens. “We’re extending Claude Fable 5 access on all paid plans, as well as keeping Claude Code’s weekly rate limits 50% higher, through July 19,” Anthropic’s team said in a July 12 tweet.

Anthropic keeps extending Fable because it does not yet know what its flagship is worth, said Sanchit Vir Gogia, principal analyst at Greyhound Research. “A vendor confident in its price does not move the same cutoff twice in six days, both times at the wire,” Gogia said.

Anthropic is essentially pushing deadlines to test its products, while users gain by being able to put their toughest tasks to Fable, Gogia said.

Anthropic, which did not immediately reply to a request for comment about the situation, has already seen plenty of action with Fable and its sister model Mythos. Both have been touted as the company’s most advanced models yet.

Fable stumbles, then reappears

Fable was officially launched June 9. Just three days later, on June 12, the US government put export controls on it after Amazon researchers bypassed Fable’s safeguards, prompting the model to identify software vulnerabilities and demonstrate an exploit. 

After Anthropic scrambled to address the issues — and after the export controls were lifted — Fable was relaunched July 1.

Fable’s freebie extension comes after OpenAI’s latest model, ChatGPT 5.6 Sol, became generally available July 9. Sol is cheaper at $5 per one million tokens input, and $30 for 1 million output tokens.

Anthropic and OpenAI are competing aggressively to build market share, said Jack Gold, principal analyst at J. Gold Associates. “Anthropic and OpenAI are looking to go public and the more users they have, the more attractive it is — even if they are not yet producing income,” he said.

In some ways, the two companies are following a well-trodden path to get customers hooked on their products and turned into paying customers. That’s what Meta, Google and Microsoft, for instance, have done over the years with various “free” offers that later morphed into paid products. 

Plus, said Gold, ”The more users you have, the better you can train your models across multiple data sets.”

That’s a potential boon for proprietary large language model (LLM) vendors offering free tokens in a bid to lock enterprises and vendors into their AI environments. But numerous experts have warned enterprises not to fall for that tactic. Instead, they argue enterprises should diversify AI development across multiple AI and cloud vendors, and adopt open-source models.

An LLM space race?

According to LLM benchmarks maintained by Artificial Analysis, Fable is the most intelligent model currently available, with Sol just behind it in second place. One benchmark by LiveBench places Sol as being better in reasoning, with Fable better at math, data analysis, instruction following and language. Both models have advantages in coding.

Meanwhile, Cursor and SpaceXAI on July 8 unveiled Grok 4.5, which the companies said can “handle difficult, long-running tasks that require creatively using tools to solve problems, whether in software engineering, data science, finance, legal work, or anything else you do on a computer,” the company said in a blog entry.

Its pricing is even more aggressive than Fable and ChatGPT 5.6 Sol. Grok 4.5 charges $2 for 1 million input tokens and $6 for 1 million output tokens.

There are growing concerns about tokenmaxxing, where enterprises rack up billions of dollars in token spending, blowing past usage limits before finance controls are implemented.

Enterprises might decide to spend more on models such as Mythos and Fable — if the benefits are tangible, said Max Leaming, head of data science and AI solutions at ManpowerGroup. Fable and Mythos may “actually be less expensive to use in spite of the spiked token cost because it’s far more efficient,” he said.

A company might find that the models use fewer tokens, are faster, and can reduce compute time, he said. “Even though the per-token costs may go up, we may see overall costs go down,” Leaming said.

Today’s CIOs must master a complex balancing act of maintaining operational excellence while enabling AI experimentation, modernizing legacy environments while accelerating innovation, leading workforce transformation while maintaining culture, and communicating fluently across boards, business units, customers, and technical teams alike.

Few leaders understand this balancing act better than former Verizon CIO Jane Connell. Over her career, Connell has helped some of the world’s largest enterprises modernize operations, reduce complexity, and transform how technology enables business value at scale. As a 2026 CIO Hall of Fame inductee, she is widely respected not only for operational excellence and strategic vision but also for her commitment to mentoring, workforce transformation, and preparing the next generation of leaders for a rapidly changing future.

On a recent episode of the Tech Whisperers podcast, we unpacked Connell’s unconventional leadership story and the playbook that has shaped one of technology’s most impactful leaders. In this exclusive interview after the show, edited for length and clarity, Connell shares more lessons from her Hall of Fame journey and why she believes the future of technology leadership will depend less on org charts and more on curiosity, credibility, and human connection.

Dan Roberts: When you think about preparing the next generation of technology leaders, what capabilities or mindsets do you believe will matter most in this next era?

Jane Connell: One is curiosity, or what I call the “why” factor: What do we need to do and why do we need to do it? It’s having a mindset of unlocking the art of the possible. You must be comfortable with what you know, what you don’t know, and asking the question why, because in this era of AI and where technology is going, it’s not about automating things you know; it’s about what you don’t already know, and what that unlocks. AI creates patterns and opportunities and re-engineers through its own intelligence, so there has to be a lot of instinct involved, and you’re going to have to understand and learn what it’s telling you.

I’m on the board of Rutgers, and one of the conversations we’re in with future leaders in education is that you don’t have those entry-level jobs anymore. They’re going to be AI. But those were building blocks for us. We came up the ranks and did those jobs, and that created the knowledge. [Future leaders are] not going to have that, so how do you create the foundation of knowledge — which is that art of asking why or what — to question if the bots or the patterns are biased or wrong. You’re not going to have the experience to rely on and say, “That’s wrong; I know that’s wrong because I did those. I know how this operates.”

Second is having humility and being comfortable in your skin — that you don’t know everything, but you’re going to learn it. You’re going to involve yourself with people. It’s about workforce structure, not organizational structure. Who do you need to talk to, and what do you have to find out?

I also believe followership is going to be huge, because the way work gets done is not hierarchical. It’s going to be engineered based on the process and AI. You have to create followership of people working together, and they’ve got to want to work with you. This isn’t going be “you work for me, do as I say.” Followership is going to be a key skill for influencing and organically having that kind of impact, versus someone with authority.

With that is the accountability to have high integrity, be credible, and be a person someone would trust. Because all this is going to break down the hierarchy of authority, you have to bring that human side and be a really good leader, which means people want to follow you, they trust you, they want to work with you, and they know you’re going to take them to a better place.

One recurring theme throughout your career has been your ability to bridge deep technology expertise with strong business acumen. Why is that combination becoming even more critical in the age of AI and digital transformation?

You can’t impact anything tech-alone. It all resides on having business acumen and then having the technical ability to know how to use tech to solve the problem, not the other way around.

At the root of all this is every company’s Achilles’ heel: the data. Access to data has been a privilege — those who have it, those who don’t. Now you’re bringing structured and unstructured [data] together for these AI models to work, and that’s a new skill set that requires you to know the business inside and outside.

You also have to stay externally relevant and know where innovation is coming from. And you’re going to need to know how to architect that into the way your company goes to market, which requires you to know the business processes, how it runs, and how it could run.

That’s the role of leaders moving forward, immersing yourself in the problems the business needs to solve. There’s no boundaries there. It’s not what department you report in and what process you own. It’s seamless. That’s the duality people need to command and grow into.

Looking back on a career that spans multiple industries with different operating models, cultures, and regulatory environments, what were some of the most important calculated risks you took in terms of your growth?

There were two pivotal moments in my career that were the biggest risks but probably my biggest gains in growth. One was when I went into a full-time tech role and ran infrastructure. I was a fish out of water, and not the likely successor. Part of the reason I did it goes back to a something we talked about on the podcast: Well, why not me? And I want more. That’s just my tenacity.

It was during the dot-com days of the late 90s, early 2000s. It didn’t matter if you were the CEO or a board director, if you didn’t know tech and you didn’t understand how to wield it, you were never going to be successful. I knew that no matter what job I may want in the future, I had to know tech. So it was a calculated decision: I’m going to jump into tech.

Some very senior supply chain leaders who controlled my career told me, “You’re going to fail, and I’ll have a safety net for you when you come back.” Well, I didn’t fail and I never went back. That pressure was there, but I knew why I was doing it. This wasn’t just a job for ego’s sake. This was, I have to know tech. The future is tech. It’s kind of like AI now.

The other pivotal moment was changing industries. I left Johnson & Johnson at a great time. We had gone through a huge transformation, started our global services organization, and the perfect moment happened for me to retire early there. I didn’t know what I wanted to do. It was the first time I took a break in my career to let the world come to me instead of me planning it. Do I want to open a business? Do I want to consult? Do I want to stay retired? I was fortunate enough that I could, but I got bored.

The financial industry wasn’t on my radar. Coming out of healthcare, with the purpose and the connection with saving lives, helping people, it’s easy to connect to. Financial wasn’t, for me. But one of the executive search firms said to me, when you interview, the biggest question hanging over your head is going to be, could you be successful elsewhere because you grew up in J&J. You had advocates, you had influence, you knew the industry. It’s like your deck was stacked for you. Could you do all that when you’re a nobody coming off the street?

So when the CIO role opened at State Street, I interviewed — and talk about being your authentic self. I had already done all this transformation, I already knew the outcomes, I knew everything I did was always enterprise and always end-to-end transformation. And because I wasn’t really vying for the job, I was having this conversation with the CFO and saying, “Here’s what your organization is lacking, here’s the noise you’re going to hear, do you really have the appetite for it?” And “I’d like talk to the COO and see if they’re ready to hear this about the value chain. I may not know your problem yet, but I guarantee it’s one of these three things.”

I was testing their advocacy of, do you really want to transform? Are you ready? Because you have to own this. I can’t take accountabilities for your organizations. I can help you get there. I’m an enabler for you, but you have to own it. And it was a very different interview. By the end of it, I loved Ron [O’Hanley, State Street Chairman and CEO] and his whole team. I took the job on the leadership and the person more than the industry, and it was very successful.

I followed the same recipe when I went to Verizon. Those were big growing moments. They were risky, they were very uncomfortable, but it was the biggest growth that I’ve ever had.

Whether it’s a tough message to the C-suite, a difficult conversation with peers, or helping teams make sense of uncertainty and change, you tell people the truth in a way they can hear it. How can other leaders develop that ability to take people on the journey, especially when the message isn’t easy?

Skirting a problem is not the way to solve it. I’ve never been the person to say what you want to hear. I’ll tell you how you get there, and I’ll get you the results you want, but I’m going to be super honest because I want to manage the expectations of what we have to achieve.

What I’ve learned as a leader is to take accountability. Say what you’re going to do, then do it, and if you hit a roadblock, be the first to call it. That gets you access, because people see it as a calculated risk. Anybody in the C-suite has resources and budget, but the earlier you signal and don’t waste money and resources, the more access to people and resources you will have.

The greatest lesson I learned from one of the leaders in my path was: If you can’t say it in an elevator, and you can’t say it on one slide, you’re talking too much. So, think about it as one slide: What is it you need? What are you going to achieve? What are the risks? What are you taking accountability for? How will you measure it? It doesn’t matter what the message is when you can be that succinct. You’ve got them laser-focused on what it is. You gave them just enough of the periphery to know how you got there, and then it’s their belief in you that you can do it if they give you the money and resources, because that’s what you’re looking for.

It sounds so simple but putting things together succinctly is hard work. You have to take all the unnecessary noise out, and keep the conversation focused. You don’t want their mind wandering, wondering where is she going, or what are they doing? Give it to them upfront and tell them what you need.

You’ve spoken about entering corporate environments early in your career feeling intimidated by people with more traditional credentials or educational backgrounds. What advice can you give rising leaders about battling imposter syndrome?

Take the time to figure out what makes you uncomfortable, what makes you feel like an imposter, or what in that meeting you dread going in where you’re not acting like yourself. Are you more quiet than usual? Are you not asking the question you’d normally ask? Figure out what those issues are, and then address the things that make you uncomfortable. I went to college later because that bothered me. Those credentials do matter. So I addressed it and got my degrees and certifications.

The other thing is to find people you trust, people whose opinion you respect, and bring them on the inside of what you’re working on. Maybe it’s dealing with a difficult business partner. You may not particularly want to be friends with them, but you’re going to have to work with them. Find the people that work effectively with them. You do this with high integrity — this is not about talking about that person — but find the allies that work with them. Nine times out of ten, they feel the way you do, but they found a way to work with the person. Pick their brain. Bring them in the fold and say, “I need this alliance. I can’t get there, and quite frankly, I know I’m resisting because maybe I just don’t like them. How did you get there?”

People are generous. Ask their opinion, ask how they’re showing up. “Am I creating the trigger? Is there something I’m doing in that meeting or in that room that I’m not coming out with a decision or whatever I needed?”

The greatest gift is feedback. There’s feedback you do something with, and there’s feedback you don’t, but either way, it’s a gift. Somebody’s giving it to you. It’s not personal; it’s business. And those things really help build your confidence and leadership style.

In an era increasingly shaped by automation and disruption, Jane Connell believes the most enduring competitive advantage may come from something deeply human: the ability to inspire confidence, curiosity, resilience, and possibility in others. For more advice from this Hall of Fame CIO, tune in to the Tech Whisperers podcast.

See also:

• Mastering the chess of IT leadership today
• Developing a customer-first culture for IT
• Coherence: Where leadership and AI success intersect

It’s been several years since generative AI and large language models (LLMs) took the world by storm. LLMs surpassed earlier natural-language systems at generating text, while diffusion models enabled generating images, music, and videos.

These generative AI models work well in the digital world, but on their own, they have limited capabilities to comprehend the three-dimensional physical world and other spaces. This includes the objects occupying an area, how they relate to each other, tracking movement, and answering complex questions requiring an understanding of dimensions, distances, motion, and collisions.

Spatial intelligence is an AI capability that allows models to reason about three-dimensional space. These models can generate 3D scenes of the world and other spaces. This content can then be displayed through traditional renderers, game engines, or AR/VR systems that use spatial computing techniques. But it’s the spatial intelligence model’s ability to connect natural language with 3D models that has the most applications in robotics, manufacturing, construction, and other physical environments.   

Dr. Fei-Fei Li, often called the godmother of AI, published a manifesto on how spatial intelligence is AI’s next frontier, contrasting it with LLMs. “While current state-of-the-art AI can excel at reading, writing, research, and pattern recognition in data, these same models bear fundamental limitations when representing or interacting with the physical world,” wrote Dr. Li. “Our view of the world is holistic—not just what we’re looking at, but how everything relates spatially, what it means, and why it matters. Understanding this through imagination, reasoning, creation, and interaction—not just descriptions—is the power of spatial intelligence.”

The concept of spatial intelligence isn’t new and was described in Howard Gardner’s book, Frames of Mind, in 1983. Recent breakthroughs, including the launch of World Labs’ Marble and its $1 billion funding round, and competing approaches from Google’s Genie 3 and Nvidia Cosmos, should put spatial intelligence and world models on more R&D road maps.

What are spatial intelligence models?

It’s important to develop AI literacy and understand the terminology and concepts related to the physical world and 3D AI technologies: 

• Spatial intelligence encompasses specialized approaches such as geospatial models for mapping the physical world and building information modeling (BIM) for modeling physical structures. It also extends to generative 3D, robotics, and physical reasoning applications.
• World models are a class of neural network architectures and are currently a prominent approach to building spatial intelligence.
• Digital twins are live, virtual replicas of physical assets that combine 3D models with real-time sensor data. Spatial intelligence, an emerging capability of digital twins, adds natural-language prompting, generative scenario exploration, and physics-aware reasoning.
• Spatial computing refers to digital content anchored in and interacting with physical space, sensed and rendered in three dimensions and delivered through AR/VR and mixed-reality systems.

“Spatial intelligence models go beyond pixels to understand the 3D structure of the world—how objects are positioned, how they move, and how they interact,” says David Fattal, founder and CTO at Leia. “This enables applications like more realistic video generation, spatial computing interfaces, and AI systems that can reason about physical environments. As real-world 3D data becomes more available, these models will become foundational to the next generation of visual AI.”

Monitoring the built environment

To better understand spatial intelligence, let’s consider physical infrastructure such as bridges and buildings. The American Society of Civil Engineers estimates a $9.1 trillion investment is needed from 2024 through 2033 to achieve a state of good repair. When maintenance and monitoring lag, it can lead to major failures such as the 2022 collapse of the Fern Hollow Bridge in Pittsburgh.

Spatial intelligence and the development of digital twins may help identify issues earlier and prioritize where investments are needed. “Spatial intelligence models serve as the 4D digital blueprints for our built environment, allowing us to visualize and predict the complex interactions between aging assets and the shifting ground beneath them,” says Patrick Cozzi, chief platform officer at Bentley Systems. “By synthesizing disparate geospatial data into a living digital twin, these models provide the foresight necessary to mitigate the hidden risks of structural fatigue and subsurface instability.”

There’s a significant challenge in bridge health monitoring and transitioning from manual, infrequent structural inspections to leveraging sensors, digital twins, and spatial intelligence. Cozzi adds, “This integration of continuous field data moves beyond static documentation, empowering agencies to evolve from reactive repairs to proactive, resilient asset management that safeguards the long-term integrity of our most critical public systems.”

Avoiding collisions

Bridges are largely static, but the real world is increasingly being occupied by autonomous systems such as self-driving cars, robots, and drones. And where there are moving systems, there is a risk of collisions.

“Spatial intelligence models are AI systems that reason about the physical world by combining vision, sensor data, and contextual cues to understand space, motion, and object relationships,” says Sudeep George, CTO at iMerit. “The value of spatial intelligence models lies not just in perceiving an environment, but in enabling machines to act within it safely and in real time. That is especially important in robotics and autonomous systems, where decisions must be made in complex, multimodal, fast-changing settings.”

To see one example, this tutorial for simulating robotic environments combines Nvidia Isaac Sim, an open source robotics reference framework, with spatial intelligence in Marble from World Labs. 

Today’s collision detection systems, such as those used in autonomous vehicles, typically rely on modules for sensing, perception, planning, and control. Spatial intelligence models may offer improvements by assessing the collision risks of unidentified objects or by tracking objects that move out of sensor view. For example, Waymo’s World Model, built on Genie 3, is a simulator that generates complex weather conditions and other critical safety events.

For an out-of-this-world example, James Urquhart, field CTO and technology evangelist at Kamiwaza, has delivered several examples of spatial intelligence applications, including one for satellite collision detection and conflict analysis. Urquhart says, “Models that specialize in these types of data sets, as well as the physics and geography of the real world, enable faster and more accurate decision-making for tasks that depend on them.”

Applying spatial intelligence

Recent spatial intelligence announcements include creating 3D worlds from image or text prompts with Marble and simulating water physics, lighting, weather, and animal behavior with Genie 3. But difficulties remain in bringing spatial intelligence to physical-world use cases.

“Spatial intelligence and world models are laying the groundwork for future AI agents that will be able to interact in and with our physical world,” says Jason Corso, cofounder and chief scientist at Voxel51. “These models are significantly more challenging to develop and test, largely because the data underlying their development is complex, and it’s hard to handle all of the combinatorics involved in the physical world.”

In addition to learning the models and prototyping with them, development and data leaders need to review the data assets that will feed spatial intelligence models. “Spatial intelligence models translate location signals into a structured understanding of the real world, but they’re only as reliable as the data beneath them,” says Dan Adams, executive vice president and general manager of Enrich at Precisely. “The real unlock isn’t the model—it’s the reference layer with persistent identifiers, confidence metadata, and source lineage that lets AI reason about places, not just match strings.”

Even once applications are developed, there will be infrastructure challenges in deploying them at the edge. Ali Kayyam, principal research scientist at BrainChip, says, “The key to unlocking spatial intelligence at scale is having the low-power, event-driven hardware that can run it at the sensor in real time where it matters most.”

Where to get started

My suggestions for developers looking to get hands-on with spatial intelligence and world models:

• To try out Marble, review their API documentation and case studies, and then experiment with a developer-focused React application.
• Review the Nvidia Cosmos developer hub, documentation, and cookbook of case studies and learning paths.
• You can get an overview of Genie 3, but access is currently restricted through Project Genie, which requires a Google AI Ultra subscription.

Google DeepMind CEO Demis Hassabis on Tuesday reiterated his push for an AI industry self-regulation effort, led by the US government, that is particularly focused on artificial general intelligence (AGI) and national security. 

But it is precisely that focus on national security that may make the results of such an effort, assuming it happens, less than palatable outside of the US.

“The rapid progress we’re seeing in AI requires a new approach to testing frontier AI model capabilities that is dynamic, adaptable, and rigorous,” Hassabis wrote. “The US is well positioned, given its economic and technical standing, to take the first step in developing such a framework. It could establish a new Standards Body modelled on a federally overseen public-private partnership or self-regulatory organization, much like the Financial Industry Regulatory Authority (FINRA), with a board that includes independent leading technical experts and open-source representatives.”

He noted, however, that the funding would need to be substantial, and would most likely come from industry, to allow the new body to attract world-class technical talent and obtain the necessary compute resources for large-scale testing.

Hassabis said he would propose that the organization “be responsible for developing assessment protocols and working with appropriate federal agencies and the US National Labs to conduct testing in areas relevant to national security,” and that AI vendor participants would be encouraged to adopt best practices, such as publishing model cards with technical details, maintaining strong internal cybersecurity, vetting key personnel, and providing sufficient resourcing for safety and security research.

This is not the first time Hassabis has expressed worries about AGI. He has already worked on a US government initiative evaluating AI safety, which involved DeepMind, Microsoft and xAI (now SpaceXAI) working with the Center for AI Standards and Innovation (CAISI), a division of the US Department of Commerce. It allowed CAISI to conduct pre-deployment evaluations and targeted research to “better assess frontier AI capabilities and advance the state of AI security.”  

The rest of the world may have concerns

Analysts and consultants were mixed about the move, with most expressing concerns about whether an industry-focused group would prioritize the public’s best interests.

“Self-regulation is not viable because it implies everyone is able to regulate themselves and will do so in line with the best interests of the public. Most tech vendors don’t have the capacity to self-regulate. They would just prefer a set of rules within which they can operate,” said Gartner VP analyst Nader Henein. “For-profit organizations are required to do what is best for their shareholders, and external regulation ensures that those organizations are never in a conflict of interest where they have to choose between what is good for their shareholders and what is good for the public.”

And, said Sanchit Vir Gogia, chief analyst at Greyhound Research, given the international nature of AI models, an effort coordinated by the US government might alienate other countries. 

“National security is the proposal’s accelerator in Washington and its poison pill abroad: the framing that opens the only gate available at home invites foreign capitals to read the institution as an instrument of American strategy,” he pointed out.

“The map is already plural,” he said. “Brussels switches on enforcement powers over general-purpose models [starting in August 2026], London runs the AI Security Institute, and Beijing licenses on its own terms. California and New York have legislated for frontier models at home. The durable route is shared technical evidence with sovereign enforcement, sealed through mutual recognition rather than deference, with India and the other major non-Western markets holding authorship rather than seats.”

Gogia added that the rules enacted by even such a group may not address all of the key concerns of enterprise IT. A US government effort along the lines that Hassabis is proposing would result in testing that “sits close to intelligence and industrial policy, and those functions will not stay neatly separated. A model can pass every catastrophic-risk test and still fail the enterprise on privacy, reliability, and liability,” he noted.

Walmart’s former director of cybersecurity Steven Eric Fisher, who is now an independent cybersecurity consultant, said he found the proposal “well-intentioned, but it addresses a highly polarized topic at a time when commercial interests carry unprecedented political influence, which is not always applied benevolently.”

He added, “an exclusive US standard that is not globally respected or enforceable would likely fail to achieve its core purpose and would place US companies at a competitive disadvantage.”

Aman Mahapatra, chief strategy officer for Tribeca Softtech, a New York City-based technology consulting firm, said that a deep dive into how FINRA operates today is illustrative of what IT leaders can expect from this effort, assuming the industry adopts that model.

“When the CEOs of the five companies that would be regulated are also the primary drafters of the standards, the standards will reflect those companies’ interests. FINRA has an independent board, but the operational reality is that member firm perspectives dominate the working groups that write the actual rules,” he said. “There is no reason to expect an AI equivalent to work differently, and every reason to expect it to work worse, because AI standardization is happening faster than any industry has ever attempted to standardize itself, and speed is the enemy of independent oversight.”

Carmi Levy, an independent technology analyst, was even more emphatically opposed to the Hassabis proposal.

“Asking Big Tech companies to self-police is analogous to allowing foxes to guard the henhouse. It hasn’t worked to date, and it won’t work going forward. Expecting these organizations to somehow change their ways at this point in time represents the height of naïve thinking,” Levy said. “The framework proposed by Demis Hassabis is a self-serving roadmap for an industry bent on racing to the AI horizon regardless of the harms caused along the way. It is impossible to quantify the dangers to broader society should frameworks allowing self-regulation become the norm.”

Some love the proposal

An almost completely opposite stance came from Yuri Goryunov, CIO of consulting firm Acceligence, who applauded the proposed move.

“This is one of the rare setups where industry self-regulation has a real shot, and enterprise IT should be enthusiastically rooting for it,” he said. “It fails when harms are externalized, such as in social media content moderation. Or when the overseer outsources judgment to the overseen, such as the FAA’s delegation to Boeing before the 737 MAX. It works when everyone in the industry shares the catastrophic downside.”

He suggested, however, that the best precedent here isn’t FINRA, it’s INPO, the Institute of Nuclear Power Operations, which the nuclear industry created within months of the 1979 Three Mile Island partial reactor meltdown “on the logic that an accident anywhere is an accident everywhere. INPO peer-reviews every US plant, its evaluations move insurance premiums, and it sits on top of the NRC’s statutory floor. That is a public-private stack very close to what Hassabis is describing. Frontier AI has the same structure: one lab’s catastrophic failure brings regulation down on all of them.”

For enterprise CIOs and other IT executives, Goryunov said, that model has the potential for being a big win.

“Today, every enterprise duplicates the same AI diligence of red-teaming, eval suites, governance committees and each does so with less information than any certifying body would have,” Goryunov said. “A credible standards regime does for AI what UL did for electrical equipment and SOC2 did for cloud: it converts an unknowable risk into a procurable product and gives boards a defensible standard of care. That’s not red tape. That’s peace of mind with an audit trail.”

However, Mahapatra said, “the countervailing view is that the alternative to industry-led standards is probably not thoughtful legislation. It is probably no standards, or state-by-state fragmentation, or the current pattern of ex-post enforcement actions where regulators surface concerns years after harm has already occurred.”

Thus, he noted, “Hassabis is making the reasonable argument that imperfect fast standards are better than perfect slow ones, and there is genuine merit to that view for topics like agent identity, evaluation methodology, and interoperability, which are exactly the areas OpenClaw is also targeting.”

Google DeepMind CEO Demis Hassabis on Tuesday reiterated his push for an AI industry self-regulation effort, led by the US government, that is particularly focused on artificial general intelligence (AGI) and national security. 

But it is precisely that focus on national security that may make the results of such an effort, assuming it happens, less than palatable outside of the US.

“The rapid progress we’re seeing in AI requires a new approach to testing frontier AI model capabilities that is dynamic, adaptable, and rigorous,” Hassabis wrote. “The US is well positioned, given its economic and technical standing, to take the first step in developing such a framework. It could establish a new Standards Body modelled on a federally overseen public-private partnership or self-regulatory organization, much like the Financial Industry Regulatory Authority (FINRA), with a board that includes independent leading technical experts and open-source representatives.”

He noted, however, that the funding would need to be substantial, and would most likely come from industry, to allow the new body to attract world-class technical talent and obtain the necessary compute resources for large-scale testing.

Hassabis said he would propose that the organization “be responsible for developing assessment protocols and working with appropriate federal agencies and the US National Labs to conduct testing in areas relevant to national security,” and that AI vendor participants would be encouraged to adopt best practices, such as publishing model cards with technical details, maintaining strong internal cybersecurity, vetting key personnel, and providing sufficient resourcing for safety and security research.

This is not the first time Hassabis has expressed worries about AGI. He has already worked on a US government initiative evaluating AI safety, which involved DeepMind, Microsoft and xAI (now SpaceXAI) working with the Center for AI Standards and Innovation (CAISI), a division of the US Department of Commerce. It allowed CAISI to conduct pre-deployment evaluations and targeted research to “better assess frontier AI capabilities and advance the state of AI security.”  

The rest of the world may have concerns

Analysts and consultants were mixed about the move, with most expressing concerns about whether an industry-focused group would prioritize the public’s best interests.

“Self-regulation is not viable because it implies everyone is able to regulate themselves and will do so in line with the best interests of the public. Most tech vendors don’t have the capacity to self-regulate. They would just prefer a set of rules within which they can operate,” said Gartner VP analyst Nader Henein. “For-profit organizations are required to do what is best for their shareholders, and external regulation ensures that those organizations are never in a conflict of interest where they have to choose between what is good for their shareholders and what is good for the public.”

And, said Sanchit Vir Gogia, chief analyst at Greyhound Research, given the international nature of AI models, an effort coordinated by the US government might alienate other countries. 

“National security is the proposal’s accelerator in Washington and its poison pill abroad: the framing that opens the only gate available at home invites foreign capitals to read the institution as an instrument of American strategy,” he pointed out.

“The map is already plural,” he said. “Brussels switches on enforcement powers over general-purpose models [starting in August 2026], London runs the AI Security Institute, and Beijing licenses on its own terms. California and New York have legislated for frontier models at home. The durable route is shared technical evidence with sovereign enforcement, sealed through mutual recognition rather than deference, with India and the other major non-Western markets holding authorship rather than seats.”

Gogia added that the rules enacted by even such a group may not address all of the key concerns of enterprise IT. A US government effort along the lines that Hassabis is proposing would result in testing that “sits close to intelligence and industrial policy, and those functions will not stay neatly separated. A model can pass every catastrophic-risk test and still fail the enterprise on privacy, reliability, and liability,” he noted.

Walmart’s former director of cybersecurity Steven Eric Fisher, who is now an independent cybersecurity consultant, said he found the proposal “well-intentioned, but it addresses a highly polarized topic at a time when commercial interests carry unprecedented political influence, which is not always applied benevolently.”

He added, “an exclusive US standard that is not globally respected or enforceable would likely fail to achieve its core purpose and would place US companies at a competitive disadvantage.”

Aman Mahapatra, chief strategy officer for Tribeca Softtech, a New York City-based technology consulting firm, said that a deep dive into how FINRA operates today is illustrative of what IT leaders can expect from this effort, assuming the industry adopts that model.

“When the CEOs of the five companies that would be regulated are also the primary drafters of the standards, the standards will reflect those companies’ interests. FINRA has an independent board, but the operational reality is that member firm perspectives dominate the working groups that write the actual rules,” he said. “There is no reason to expect an AI equivalent to work differently, and every reason to expect it to work worse, because AI standardization is happening faster than any industry has ever attempted to standardize itself, and speed is the enemy of independent oversight.”

Carmi Levy, an independent technology analyst, was even more emphatically opposed to the Hassabis proposal.

“Asking Big Tech companies to self-police is analogous to allowing foxes to guard the henhouse. It hasn’t worked to date, and it won’t work going forward. Expecting these organizations to somehow change their ways at this point in time represents the height of naïve thinking,” Levy said. “The framework proposed by Demis Hassabis is a self-serving roadmap for an industry bent on racing to the AI horizon regardless of the harms caused along the way. It is impossible to quantify the dangers to broader society should frameworks allowing self-regulation become the norm.”

Some love the proposal

An almost completely opposite stance came from Yuri Goryunov, CIO of consulting firm Acceligence, who applauded the proposed move.

“This is one of the rare setups where industry self-regulation has a real shot, and enterprise IT should be enthusiastically rooting for it,” he said. “It fails when harms are externalized, such as in social media content moderation. Or when the overseer outsources judgment to the overseen, such as the FAA’s delegation to Boeing before the 737 MAX. It works when everyone in the industry shares the catastrophic downside.”

He suggested, however, that the best precedent here isn’t FINRA, it’s INPO, the Institute of Nuclear Power Operations, which the nuclear industry created within months of the 1979 Three Mile Island partial reactor meltdown “on the logic that an accident anywhere is an accident everywhere. INPO peer-reviews every US plant, its evaluations move insurance premiums, and it sits on top of the NRC’s statutory floor. That is a public-private stack very close to what Hassabis is describing. Frontier AI has the same structure: one lab’s catastrophic failure brings regulation down on all of them.”

For enterprise CIOs and other IT executives, Goryunov said, that model has the potential for being a big win.

“Today, every enterprise duplicates the same AI diligence of red-teaming, eval suites, governance committees and each does so with less information than any certifying body would have,” Goryunov said. “A credible standards regime does for AI what UL did for electrical equipment and SOC2 did for cloud: it converts an unknowable risk into a procurable product and gives boards a defensible standard of care. That’s not red tape. That’s peace of mind with an audit trail.”

However, Mahapatra said, “the countervailing view is that the alternative to industry-led standards is probably not thoughtful legislation. It is probably no standards, or state-by-state fragmentation, or the current pattern of ex-post enforcement actions where regulators surface concerns years after harm has already occurred.”

Thus, he noted, “Hassabis is making the reasonable argument that imperfect fast standards are better than perfect slow ones, and there is genuine merit to that view for topics like agent identity, evaluation methodology, and interoperability, which are exactly the areas OpenClaw is also targeting.”

This article originally appeared on CIO.com.

Every day this past week I did something I suspect millions of other people also did: I stared at an LLM model picker and wondered which one I was supposed to want.

OpenAI just released ⁠GPT-5.6 Sol, Terra, and Luna. Sol is the flagship. Terra offers much of its intelligence for less money. Luna is cheaper still. Anthropic released ⁠Claude Sonnet 5 at the end of June and Opus 4.8 the month prior, with a little Fable 5 emerging in between. Meanwhile, Google, which seemed to be winning the model wars a few months ago, is now getting shade from Gergely Orosz, who ⁠argues that Gemini has slipped outside the top tier for software development and has been out of the major model release game for eons (May 19).

Perhaps Orosz is right. Perhaps he’ll be wrong again in six weeks. Honestly, it’s exhausting.

I use ChatGPT and Claude constantly and still have no principled idea which model to choose most of the time. I tend to click whatever looks like the biggest, most expensive option because I don’t know what I’m giving up by choosing something smaller. “Instant” sounds dangerously unserious. “Thinking” sounds expensive but powerful.

A quick survey of my LinkedIn crowd suggests others also feel my “WHICH MODEL???” pain. More importantly, I suspect most enterprises do, too.

A model doesn’t rot

Before getting carried away, however, it’s worth considering whether any of this model churn actually matters. After all, a model doesn’t rot. The model an enterprise put into production in March performs just as well in July as it did when the company selected it. “Obsolete” generally means that something better now exists, not that the deployed model suddenly stopped summarizing insurance claims or classifying support tickets. (In other words, once you have something working, the idea that “but maybe Opus 200.2 is better!” is really a FOMO problem, not a performance issue.)

Most enterprise workloads don’t live at the frontier anyway. Extraction, summarization, classification, document comparison, and customer-service assistance often work perfectly well with smaller, cheaper models. OpenAI’s own pitch for the trio of GPT-5.6 models isn’t simply that Sol is better. It’s that ⁠Terra and Luna deliver different combinations of intelligence, latency, and cost. Luna, the cheapest tier, nearly matches the previous generation’s peak performance at less than half the estimated cost, according to OpenAI.

The practical question, of course, is where to start. An enterprise can’t test every model, every reasoning setting, and every price tier before doing any work. So here’s my advice (which I don’t follow in my own work, but I’m not defining enterprise strategy and can be a little price-insensitive). Start with the cheapest credible model that appears capable of the task. Give it a representative set of real examples and, before you start testing, define what counts as good enough. If it passes, stop. If it fails, move up a tier or try a model with strengths better suited to the work.

That sounds almost offensively simple, but it reverses the way many people, including me, use these products. We start with the biggest model because we’re afraid of what we might lose. Enterprises should start lower and require evidence before paying for more intelligence.

There are exceptions, of course. For genuinely difficult work, such as autonomous coding, complex research, or high-stakes reasoning, beginning with a frontier model may save time. But even then, the goal should be to establish a quality ceiling, then test whether a cheaper model can meet it. It’s changing the question from “which model is best?” to “what is the least expensive model that reliably clears the bar for this job?”

For many workloads, that price improvement matters more than a few extra benchmark points. ⁠As I argued back in 2023, following AI hype doesn’t help anyone. If your model strategy depends on whichever benchmark screenshot is circulating on X this week, you don’t have a strategy. Not a viable one, anyway. Pick a model and ignore the noise.

Except, of course, when that noise suggests a serious signal.

Sometimes better really is better

Frontier improvements aren’t always incremental, making it advantageous to consider an upgrade. Coding is the obvious example. There’s a significant difference between a model that suggests the next few lines of code and one that can inspect a repository, plan a change, use tools, run tests, discover its own mistakes, and keep working for an extended period. That isn’t merely a nicer autocomplete experience. It can reorganize a development workflow.

This is why enterprises can’t simply standardize on an 18-month-old model and declare victory. In some areas, particularly software development and other agentic work, better models can unlock compounding productivity. A model that reliably completes 80% of a bounded task rather than 50% may justify an entirely different division of labor between humans and machines.

Still, that upgrade isn’t free.

Models differ in how they interpret instructions, call tools, manage context, refuse requests, and fail. Prompts and scaffolding tuned for one model can regress when moved to another. Or costs can explode. As one of my Oracle colleagues discovered just this week, running the same tasks in GPT 5.6 was orders of magnitude more expensive than 5.5. The API change may be trivial, but the revalidation and implications are not.

This leaves enterprises caught between two bad options. They can freeze and potentially miss out on meaningful improvements or chase every release and repeatedly test production systems on faith. What to do?

Stop making model bets

The answer is to stop making LLM bets and start making job-to-be-done bets. Stop asking which model is fastest. Instead, figure out what work you are trying to improve. What does a good result look like? How much latency and cost can the workflow tolerate? How wrong can it be before a human must intervene? Once those questions have answers, model selection becomes less opaque.

A difficult code migration may justify GPT-5.6 Sol or Claude Sonnet 5. A repetitive classification task may work just as well with Luna or another smaller model. A regulated workflow may require a model or deployment option that offers particular data controls. Sometimes the correct model is no LLM at all, like when I’m writing this post. Sorry, AI vendors! (At least you won’t get blamed for my mistakes.)

This is where evaluations become the center of enterprise AI strategy. ⁠As I’ve said before, most companies don’t have an AI quality problem so much as an AI measurement problem. Hence, a private evaluation suite built from real company work is the only leaderboard that matters. Does the new model materially improve quality? If so, use it! Does it reduce cost or latency? Again, that’s your free pass to adoption. Does the improvement justify the expense and effort of revalidation? If yes, continue.

Make model releases boring

As important as the model is, keep in mind that AI success always comes back to your company’s data, your company’s workflows, your company’s integrations, etc. That’s the ⁠dull reality behind sexy AI. Retrieval, memory, governance, data quality, observability, and feedback loops aren’t as exciting as a new model launch, but they’re what ultimately make AI truly work.

Again, when it’s time to consider something new, the principle should be to default to the least expensive model that reliably passes your evaluations. Only escalate harder tasks to more capable models when measurement shows that the premium pays. Tip: Make this invisible to employees so that the system routes to the best model for a particular prompt. As dbt Labs’ Jon Lewis expresses it, “The best model is ‘Auto’ and I won’t hear anyone say otherwise.” OpenAI’s own ⁠migration guidance recommends testing models on representative tasks, including trying a lower reasoning level rather than automatically cranking everything to the maximum.

As for me, I’ll probably keep clicking the shiniest option. I don’t have a formal evaluation suite for InfoWorld columns, and the marginal cost is a subscription I already pay. Enterprises don’t get that excuse.

It’s been several years since generative AI and large language models (LLMs) took the world by storm. LLMs surpassed earlier natural-language systems at generating text, while diffusion models enabled generating images, music, and videos.

These generative AI models work well in the digital world, but on their own, they have limited capabilities to comprehend the three-dimensional physical world and other spaces. This includes the objects occupying an area, how they relate to each other, tracking movement, and answering complex questions requiring an understanding of dimensions, distances, motion, and collisions.

Spatial intelligence is an AI capability that allows models to reason about three-dimensional space. These models can generate 3D scenes of the world and other spaces. This content can then be displayed through traditional renderers, game engines, or AR/VR systems that use spatial computing techniques. But it’s the spatial intelligence model’s ability to connect natural language with 3D models that has the most applications in robotics, manufacturing, construction, and other physical environments.   

Dr. Fei-Fei Li, often called the godmother of AI, published a manifesto on how spatial intelligence is AI’s next frontier, contrasting it with LLMs. “While current state-of-the-art AI can excel at reading, writing, research, and pattern recognition in data, these same models bear fundamental limitations when representing or interacting with the physical world,” wrote Dr. Li. “Our view of the world is holistic—not just what we’re looking at, but how everything relates spatially, what it means, and why it matters. Understanding this through imagination, reasoning, creation, and interaction—not just descriptions—is the power of spatial intelligence.”

The concept of spatial intelligence isn’t new and was described in Howard Gardner’s book, Frames of Mind, in 1983. Recent breakthroughs, including the launch of World Labs’ Marble and its $1 billion funding round, and competing approaches from Google’s Genie 3 and Nvidia Cosmos, should put spatial intelligence and world models on more R&D road maps.

What are spatial intelligence models?

It’s important to develop AI literacy and understand the terminology and concepts related to the physical world and 3D AI technologies: 

• Spatial intelligence encompasses specialized approaches such as geospatial models for mapping the physical world and building information modeling (BIM) for modeling physical structures. It also extends to generative 3D, robotics, and physical reasoning applications.
• World models are a class of neural network architectures and are currently a prominent approach to building spatial intelligence.
• Digital twins are live, virtual replicas of physical assets that combine 3D models with real-time sensor data. Spatial intelligence, an emerging capability of digital twins, adds natural-language prompting, generative scenario exploration, and physics-aware reasoning.
• Spatial computing refers to digital content anchored in and interacting with physical space, sensed and rendered in three dimensions and delivered through AR/VR and mixed-reality systems.

“Spatial intelligence models go beyond pixels to understand the 3D structure of the world—how objects are positioned, how they move, and how they interact,” says David Fattal, founder and CTO at Leia. “This enables applications like more realistic video generation, spatial computing interfaces, and AI systems that can reason about physical environments. As real-world 3D data becomes more available, these models will become foundational to the next generation of visual AI.”

Monitoring the built environment

To better understand spatial intelligence, let’s consider physical infrastructure such as bridges and buildings. The American Society of Civil Engineers estimates a $9.1 trillion investment is needed from 2024 through 2033 to achieve a state of good repair. When maintenance and monitoring lag, it can lead to major failures such as the 2022 collapse of the Fern Hollow Bridge in Pittsburgh.

Spatial intelligence and the development of digital twins may help identify issues earlier and prioritize where investments are needed. “Spatial intelligence models serve as the 4D digital blueprints for our built environment, allowing us to visualize and predict the complex interactions between aging assets and the shifting ground beneath them,” says Patrick Cozzi, chief platform officer at Bentley Systems. “By synthesizing disparate geospatial data into a living digital twin, these models provide the foresight necessary to mitigate the hidden risks of structural fatigue and subsurface instability.”

There’s a significant challenge in bridge health monitoring and transitioning from manual, infrequent structural inspections to leveraging sensors, digital twins, and spatial intelligence. Cozzi adds, “This integration of continuous field data moves beyond static documentation, empowering agencies to evolve from reactive repairs to proactive, resilient asset management that safeguards the long-term integrity of our most critical public systems.”

Avoiding collisions

Bridges are largely static, but the real world is increasingly being occupied by autonomous systems such as self-driving cars, robots, and drones. And where there are moving systems, there is a risk of collisions.

“Spatial intelligence models are AI systems that reason about the physical world by combining vision, sensor data, and contextual cues to understand space, motion, and object relationships,” says Sudeep George, CTO at iMerit. “The value of spatial intelligence models lies not just in perceiving an environment, but in enabling machines to act within it safely and in real time. That is especially important in robotics and autonomous systems, where decisions must be made in complex, multimodal, fast-changing settings.”

To see one example, this tutorial for simulating robotic environments combines Nvidia Isaac Sim, an open source robotics reference framework, with spatial intelligence in Marble from World Labs. 

Today’s collision detection systems, such as those used in autonomous vehicles, typically rely on modules for sensing, perception, planning, and control. Spatial intelligence models may offer improvements by assessing the collision risks of unidentified objects or by tracking objects that move out of sensor view. For example, Waymo’s World Model, built on Genie 3, is a simulator that generates complex weather conditions and other critical safety events.

For an out-of-this-world example, James Urquhart, field CTO and technology evangelist at Kamiwaza, has delivered several examples of spatial intelligence applications, including one for satellite collision detection and conflict analysis. Urquhart says, “Models that specialize in these types of data sets, as well as the physics and geography of the real world, enable faster and more accurate decision-making for tasks that depend on them.”

Applying spatial intelligence

Recent spatial intelligence announcements include creating 3D worlds from image or text prompts with Marble and simulating water physics, lighting, weather, and animal behavior with Genie 3. But difficulties remain in bringing spatial intelligence to physical-world use cases.

“Spatial intelligence and world models are laying the groundwork for future AI agents that will be able to interact in and with our physical world,” says Jason Corso, cofounder and chief scientist at Voxel51. “These models are significantly more challenging to develop and test, largely because the data underlying their development is complex, and it’s hard to handle all of the combinatorics involved in the physical world.”

In addition to learning the models and prototyping with them, development and data leaders need to review the data assets that will feed spatial intelligence models. “Spatial intelligence models translate location signals into a structured understanding of the real world, but they’re only as reliable as the data beneath them,” says Dan Adams, executive vice president and general manager of Enrich at Precisely. “The real unlock isn’t the model—it’s the reference layer with persistent identifiers, confidence metadata, and source lineage that lets AI reason about places, not just match strings.”

Even once applications are developed, there will be infrastructure challenges in deploying them at the edge. Ali Kayyam, principal research scientist at BrainChip, says, “The key to unlocking spatial intelligence at scale is having the low-power, event-driven hardware that can run it at the sensor in real time where it matters most.”

Where to get started

My suggestions for developers looking to get hands-on with spatial intelligence and world models:

• To try out Marble, review their API documentation and case studies, and then experiment with a developer-focused React application.
• Review the Nvidia Cosmos developer hub, documentation, and cookbook of case studies and learning paths.
• You can get an overview of Genie 3, but access is currently restricted through Project Genie, which requires a Google AI Ultra subscription.

This is Part 2 of a series on tech worker unionization. See Part 1: “A brewing battle: More IT workers want unions. The industry doesn’t.”

The best time for tech workers to unionize was 20 years ago, when they had plenty of leverage. The second-best time is now, when they don’t.

Mass layoffs, AI-driven displacement, corporate surveillance, workplace disillusionment have created conditions that have made organizing compelling for tech professionals. But the federal labor board that has historically protected workers’ right to organize has been weakened, and the companies that once feared it are openly defying it.

Here’s how organizers and labor experts describe the pros and cons to organizing — and how you can get started.

What unions can — and can’t — do for you

The single biggest benefit of a union contract for most tech workers isn’t pay — it’s protection against arbitrary termination, especially in the wake of recent mass layoffs in tech. In the United States, nonunion “at-will” workers can be fired at any time without a stated reason, while unionized workers negotiate protections written into their contracts.

“That fear of the company letting you go for anything at any time…with a union they just can’t do that,” says Zak Thompson, a senior software engineer at Kickstarter and union steward at Kickstarter United. Now that Kickstarter employees are unionized, people are less worried that saying something negative will result in termination.

“I’ve been shocked at the willingness of my co-workers to speak up against what they see as poor or controversial business decisions,” Thompson says.

Beyond job security, unions can deliver concrete material gains. Kickstarter United was formed in 2020, although getting there wasn’t easy: two employees were fired during the organizing campaign — which itself became a galvanizing event. And while the union hasn’t been able to prevent layoffs, it did negotiate better terms: four months of severance pay and four to six months of continued health insurance, versus the two to three weeks per year of work that management had initially proposed.

Other benefits include a four-day work week; AI protections; a minimum pay floor; and standards for raises, promotions, and time off for the company’s 59 employees.

Unions can give tech workers a voice in decisions that affect their daily work — including how AI tools are deployed. “Nobody I’ve spoken to is against new technology or getting trained in it,” says Max Belasco, a business systems analyst at the University of California Los Angeles School of Law and co-chair of the UCLA chapter of the University Professional and Technical Employees/Communications Workers of America (UPTE-CWA) Local 9119.

“But when new technology is being implemented, we want to know: what’s the five-year vision, the 10-year vision? Are we implementing this in a way that betters staffing, increases efficiency, or eases the lives of people already working? Or are we trying to take away jobs, automate people out of their pension or paycheck?” Belasco says.

The challenges are real. Tech professionals are less inclined to leave their jobs in the current market because wages haven’t been increasing as fast as they once were, and it can take longer to land another job.

“Tech moved from a very tight labor market in 2022 (1.85% unemployment rate) to a noticeably weaker one in 2024–2026 (3.49%),” although that’s still better than the national unemployment rate of 4.36% through May of this year, says Liya Palagashvili, senior research fellow and director of the Labor Policy Project at the Mercatus Center at George Mason University.

Flexibility is a concern. The more substantive challenge, raised by economists including Palagashvili, is that traditional union contracts impose uniform terms across an entire bargaining unit, limiting the flexibility that many tech workers — and their employers —currently enjoy. Tech firms need to move fast, adjusting teams, products, and roles on the fly.

“Collective bargaining agreements can make those adjustments much more difficult, whether by making them slower, costlier, or inconsistent with the contract,” she says.

Workers skeptical of unions in a survey of 1,900 tech professionals conducted by the career site Blind cited specific concerns: that unions are “not meritocratic,” “prevent innovation,” and “hold back earnings of top performers.”

Thompson from Kickstarter United pushes back: “We have nothing in our contract about ‘you can’t bend down and pick up a piece of trash because that’s someone else’s job.’ The company is free to give bonuses and individual raises as much as they like. This is all just up to the people who are bargaining the contract from the union side.”

Organizing carries potentially serious personal risks. During negotiations for a second three-year contract in 2025, Kickstarter United went on strike for 42 days. A few months later, the company announced layoffs.

“They let go strong union leaders, including a person who had bargained our last contract,” Thompson says. The union appealed, and the issue is now going to arbitration.

If you form a union, don’t expect much support from the National Labor Relations Board, the agency that certifies US labor unions and protects workers’ right to organize, in terms of prosecuting complaints of unfair labor practices, Thompson warns. “We’re in a political moment in this country with a pretty weakened NLRB. You have to be ready to organize and withhold worker power without any guarantee of safety.”

Organizers are up against an enormous union avoidance industry. Organizers can expect fierce pushback as soon as the business discovers that organizing is underway.

“There’s a multi-billion-dollar industry in union avoidance,” says Alan McAvinney, a Google software engineer and organizing chair, Alphabet Workers Union-CWA, a 1,400-member minority union of Alphabet employees. (Google is a subsidiary of Alphabet.)

US employers spend roughly $1.7 billion a year on union avoidance consultants and law firms, according to a May 2026 report by the Economic Policy Institute and LaborLab.

Expect hardball tactics. Management may play hardball during the time between when organizers announce their intention to unionize and the actual vote. For example, management can threaten to fire foreign-born workers in the US on H-1B visas if they support the union. Those workers would then have just 60 days to find a new sponsoring employer or lose their H-1B status, according to a recent Tech Workers Coalition blog post.

And at venture capital-backed startups, investment agreements sometimes require management to attest there is no union activity — meaning a public organizing drive can trigger funding withdrawal. Or, if a unionized company is acquired, the new management can dissolve the union overnight by reclassifying unionized workers as new hires.

With these sobering facts in mind, here is how organizers who have done it describe the process of creating a union.

Step 1: Start a conversation with your co-workers

At the University of California, a two-tier system had evolved where some tech workers were unionized and some weren’t, Belasco says. Management created new titles that fell outside the union even though they had similar job descriptions and responsibilities to those in the union. Those nonunion employees received lower pay and benefits than their unionized peers, which created resentment and instability.

Belasco and other organizers wanted to eliminate that division by bringing everyone under the same contract. But when they began their unionization drive, “the biggest barrier we faced wasn’t management opposition — it was that people felt this was just the best-case scenario realistically available: ‘We have this job at the university, we have concerns about automation and layoffs, but what can we really do about it?'” he says.

The antidote to that fatalism, organizers say, is simple: “Just start talking to your immediate co-workers. Are they experiencing the same challenges you are experiencing?” says McAvinney. “There’s no need to start talking about a union at this point.”

Just get a consensus and start building a group of like-minded individuals, Thompson advises. “Always start with one-on-one conversations, and that’s what you should do the whole time. That’s the key to organizing,” he says.

Tech workers often think they’re a special case, says Thompson, and therefore that unionization isn’t a good fit. “You’re not special. You are a company of workers, you are organizing, and there is a playbook for that. Trust the process, because it tends to work pretty well,” he says.

Step 2: Who’s on board, and who’s not? Map your workplace, but keep it quiet

Once there’s a consensus, continue to grow your network. Keep a list of everyone you’ve spoken with and note their disposition: “Is this person union-friendly or anti-union? Would they be a strong organizer?” Thompson says.

Maintaining secrecy early on is essential, because anti-union tactics will start immediately, and that can stop union organizing before it can gain momentum.

“Generally, employers do not want to share power with their workforce,” McAvinney says. Employers will deploy every means at their disposal to stop organizing efforts and peel away potential yes votes.

“If you look at historical examples, having 70% approval before the employer finds out about you results in a high percentage of wins when you actually cast the vote. Historically, that’s an effective buffer,” he says.

There’s a real threat of firing and layoffs. The traditional tech worker belief that job mobility makes collective action unnecessary is now being tested by a tighter job market, McAvinney says, noting that workers who many believe were fired for speaking out back in 2019 were a galvanizing factor in his union’s formation.

“You generally don’t want to be in a situation where the employer feels comfortable firing everyone. Part of that is thinking from a cynical standpoint about what the consequences would be to the employer if they did fire everyone,” he says.

One-on-one conversations that include personally asking co-workers to keep conversations confidential are key to keeping things quiet, Belasco says. When 2,100 UC tech workers voted to unionize in May, 96% voted in favor. To stay out of earshot of managers, avoid employee surveillance tools, and sidestep conference calls that could be recorded, organizers met with workers in their homes.

“That tactic is probably what made the difference between winning the election and getting the majority we got,” he says.

Step 3: Find the right union affiliation or go it alone

“Running a campaign against major employers requires the resources and expertise of the larger labor movement, even if workers publicly present as independent,” says Kate Bronfenbrenner, director of labor education research and senior lecturer emeritus at Cornell University’s School of Industrial and Labor Relations.

Options include the Communications Workers of America (CWA), Service Employees International Union (SEIU), and the Office and Professional Employees International Union (OPEIU), among others. Another resource, the Tech Workers Coalition (TWC), provides training on organizing tactics, AI-in-workplace issues, and contract negotiation, and can match workers to the right unions for their needs.

The Alphabet Workers Union decided early on to affiliate with CWA. “They gave us a bunch of support early on in our campaign with no strings attached,” McAvinney says.

Kickstarter is organized through OPEIU, Thompson says. “They’ll usually have resources and staff that can help you through the next steps: collecting signatures in support of a union, bringing that to management, holding a vote — the more formalized things that interact with US labor law. They’ll also help with organizing along the way,” he says.

For workers at institutions where a union already exists, there may be a faster path. Organizers at UCLA did what’s called a “unit modification,” aligning with UPTE. By organizing under UPTE, the workers didn’t have to negotiate a new contract from scratch — they joined an already-negotiated contract covering existing UPTE tech members, which put them in “a much stronger position” than starting fresh, Belasco says.

Step 4: Choose your union model: majority vs. pre-majority or minority

Assess what’s practical for your organizing effort. In a majority union, more than 50% of all workers in a defined bargaining unit must vote to join the union through an NLRB-supervised election in the private sector, or a Public Employment Relations Board (PERB)-supervised election for public sector workers.

The NLRB must certify the union, which then operates under its legal protections. This means, for example, that the employer must bargain, negotiated contracts are enforceable, violations must go to the NLRB or arbitration, and workers can’t be dismissed without just cause.

A pre-majority or minority union is a minority labor organization operating without NLRB protections or collective bargaining agreements. “Pre-majority means that workers are able to demonstrate majority support — through signed cards, petitions, a walkout, or everyone wearing solidarity T-shirts — without going through a formal election,” Bronfenbrenner says.

The Alphabet Workers Union-CWA (AWU-CWA) formed as a pre-majority union because achieving majority status across a globally distributed workforce of over 100,000 was not a realistic near-term goal. “An underground model where you try to reach 70% support across a workforce of over 100,000 people isn’t realistic,” McAvinney says.

A pre-majority union can still make a difference, he says. For example, the Alphabet Workers Union-CWA convinced management to offer voluntary exit packages — buyouts — prior to announcing layoffs.

For smaller organizations, a majority union may be the more practical option — it’s more attainable, McAvinney says. “I don’t think [the pre-majority union model] is the correct thing to do in all situations. I certainly would not recommend it to a 200-person shop.”

Kickstarter, which had fewer than 100 employees, was able to form a majority union, with 55% voting to organize.

Ultimately, says McAvinney, “there’s no inflection point where you go from being able to win nothing to winning everything, even with a contract and a supermajority. But the more people you have who are willing and able to fight for what they want, the more you’ll be able to get.”

Step 5: Who should — and should not — be in your union?

Belasco’s situation at UCLA illustrates a broader strategic choice that every organizing campaign must make. He had been in a union position in educational technology when he was told his role would be reclassified as a non-union position.

“I was given a choice: apply to the new non-union position to continue doing the work I’d trained for, or stay in my union position doing service desk work I wasn’t used to,” he says. “Essentially, it was a choice between job security and career progression.”

Belasco joined a “wall-to-wall” union, which represents a broad range of university professional and technical employees across the UC system rather than a single job category, such as engineers or tech professionals.

Kickstarter United is another example of a wall-to-wall union. “It’s not just the engineers who are unionized, but also customer support, designers — everyone,” Thompson says.

Wall-to-wall unions are more powerful, but they’re also more difficult to achieve. Under US labor law, “professionals have to vote separately on whether they want to be combined with other workers,” says Bronfenbrenner. “You can never have a wall-to-wall unit without giving professionals the chance to decide whether they want to be separate.”

The law’s “professional employees” category includes roles like software engineers and developers but not necessarily others. For example, customer support specialists and QA analysts would fall into the “non-professional workers” category.

“For decades, the pattern was either to organize everybody except the engineers, or manage to organize the engineers and fail to bring in everybody else — neither of which builds real worker power,” says Simone Robutti, an organizer with Tech Workers Coalition Global, an international branch of TWC based in Berlin.

Step 6: You won the vote. Get ready for what comes next

Winning a union vote means having a seat at the table, says Thompson. “Once the workers have come together and agreed they want that seat, you bring that to management, and they have a chance to voluntarily recognize a union,” he says.

But in most cases employers contest the results, which must be certified by the NLRB or PERB. That process, in which the employer uses various tactics to challenge the legitimacy of the outcome, can take weeks or months.

Unfortunately, the legal framework that is supposed to protect workers during this process has been significantly weakened in the last few years. In a potentially more ominous development, SpaceX, Amazon, Trader Joe’s, Starbucks, and the University of Southern California have in separate legal actions challenged the constitutionality of the NLRB, arguing that the agency’s structure violates the separation of powers. The Fifth Circuit Court of Appeals upheld injunctions against the NLRB in SpaceX’s case in August 2025 — a serious challenge to the agency’s authority.

In the meantime, some companies may disregard negotiated contracts, which can lead to lengthy legal appeals or extended arbitration.

“The NLRB can still force an election, but it can’t force a contract, and companies are saying they simply won’t comply,” Bronfenbrenner says. This is where the expertise and resources of affiliation with a major union can help, she adds.

As a result, contract negotiations can take far longer than workers might expect. At Kickstarter, for example, two years and four months elapsed from the time of the union vote to the first contract, and that was at a 59-person company with a relatively cooperative employer. At larger companies with more aggressive legal teams, the timeline will be longer.

Forming a union is hard work, Robutti says. “It’s not a service you pay for and they protect you. It doesn’t happen spontaneously, and it doesn’t happen magically. It’s the choice to take responsibility for improving your workplace.”

If you just read the headlines, it would seem as if AI is now writing all of the world’s code and powering every application businesses run on.

That’s far from true. Just 4 of 33 AI pilots reach production, according to IDC Research — leaving legacy applications still fueling the wheels of commerce. This “silent majority” represents trillions of dollars spent each year on building, maintaining, testing, validating and monitoring legacy applications.

These applications won’t be replaced overnight. Companies and organizations depend on their predictability. The 60-plus-year-old COBOL programming language remains the backbone of banking software for good reason: it is extraordinarily efficient at processing massive transaction volumes with precision. Furthermore, do you want your bank revolutionizing how they manage your money? Probably not.

So, while AI investment continues to build inside the software development lifecycle (SDLC), it isn’t instantly rendering older software obsolete. What it will do is steadily enable easier tweaking, updating and testing of legacy applications — and in some cases, full migrations to modern platforms. And really, this isn’t a new phenomenon. Businesses have always looked to wring more efficiency and profit from existing products through intelligent prioritization.

The argument then is that CIOs and CTOs can take a proactive look at their legacy application portfolios to determine which ones, if any, should migrate sooner. Five considerations can help guide that decision.

Before replacing legacy apps with AI, ask these 5 important questions

1. Does the legacy application still work?

Is its utility still there? Customers often appreciate the consistency of legacy applications. They’re reliable, predictable and well understood. Don’t fix what isn’t broken. Another way to think about this is the degree to which the technical approach of your legacy application is still viable. It’s pretty much a guarantee nowadays in software that an application built one way, with some set of technologies, would be built a totally different way just two to three years later. There is no avoiding that, but what you want to avoid is investing further into a technical approach powering a legacy application that has been completely replaced with new software or a technical approach, especially if it is 10x better across the vectors of software development (latency, cost, accuracy).

2. Does it still make financial sense?

Running a system over a long period amortizes costs significantly. Even as growth rates slow or plateau, it can still be less expensive to let legacy applications run than to overhaul them. Another way to think about this is: how viable is my customer base in the near-term and the long-term? If you anticipate modest—or even flat—earnings growth for your product, then that’s an indicator that it’s possibly worth optimizing your development processes with AI. Where it’s probably not worth investing is when you have no confidence in your future earnings, whether that’s due to the customer base shrinking or commoditization or something else.

3. Can you integrate AI into existing workflows?

A significant portion of upcoming software development lifecycle work will focus on refactoring applications to be more AI-native. Some legacy applications may be strong candidates for a full AI rebuild, while others are better positioned for an AI add-on. Gartner research from 2025 found that only 28% of AI use cases in infrastructure and operations fully succeeded.

Among those that did, success was attributed primarily to integrating AI into existing workflows and systems. “As AI becomes part of day‑to‑day operations, it boosts adoption and creates visible impact within the organization,” Gartner states.

It’s important to keep in mind the distinction between using AI to optimize an existing process or workflow within your application, versus powering a workflow or feature with AI. The former approach is more palatable for legacy applications because it generally doesn’t change the cost profile of running that application. In the latter case, if you’re introducing an AI-powered module into the application, you’re generally going to incur inference costs at runtime, and they are an order of magnitude more expensive for today’s frontier models than base compute.

4. Do you have documented processes for maintaining legacy applications?

If so, you’ll more quickly identify where AI can optimize. The more coherent, organized and detailed processes are, the faster AI can find its footing and drive tangible efficiency gains. If documentation is lacking, start there. Keep detailed instructions and workflows for how you do things. Consistency matters. Don’t do things by heart. Don’t approach tasks casually, and don’t do things differently each time. The more uniform your process, the more easily you can insert AI into discrete steps and achieve efficiencies without disrupting the broader software development lifecycle. The organization in the most precarious position is the one managing legacy applications with no documented process for doing so.

5. Can you prioritize?

Making a change to a piece of legacy software might involve 20 or more steps. Only one or two of those steps may be clear candidates for AI-driven optimization. Identifying and prioritizing those opportunities will help you realize early wins and build the case for broader return on investment. Also, not all candidates for optimization make sense in light of broader financial and operational constraints. As always, prioritize ruthlessly in favor of ROI—bang for your buck. If your team has been struggling to operate a particular part of your system due to a lack of expertise or time, you might consider using AI to buttress the maintenance of that component. Having AI own that part of the workflow might unlock big time savings—or it might erode crucial domain knowledge that your team used to possess through repetition. There is no one-size-fits-all; think through the second-order effects.

Adding AI in testing in the SDLC

Beyond coding and application development, AI is opening new possibilities in how we test software. As leaders examine processes and look for places to insert AI, testing is often a natural entry point. There has been substantial innovation here, including new autonomous AI-driven testing solutions, those that have been enhanced with AI, and hybrid approaches that blend both. Each organization will be at a different place in its AI journey. Testing solutions exist to meet everyone where they are. Also, the state of applications will help determine which approach fits best—and when it fits as you evolve applications.

Of course, there is some substance to the AI hype around how much code AI will write and how many applications it is already creating faster than ever. But one school of thought is that AI’s biggest economic impact will be in the creation of massive new markets and industries rather than in the complete displacement of existing industries. Regardless of how far AI takes us through the universe, it’ll take some time and it’ll be bankrolled by the trillions of dollars of existing products and industries that we depend on every day.

That’s all good news for legacy players, but no one can afford to stay still. AI capabilities are advancing rapidly. Make it a habit to revisit legacy applications and workflows regularly. The right moment to introduce AI will keep shifting, and staying ahead of it is a competitive advantage.

This article is published as part of the Foundry Expert Contributor Network.
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Seventy-one percent of organizations say AI has access to core business systems. Only 16% govern that access effectively, according to the 2026 CISO AI Risk Report. Ask your IR team three questions: Where is your AI system inventory? What happens if a production model starts generating harmful outputs? Who has the authority to take it offline?

I’ve spent 14 years in security — energy, banking, telecom, manufacturing. Red team work, detection programs and the last several years focused on AI risk and ShadowAI. What I see consistently: Organizations have AI in production, they have an IR playbook and they think those two things are connected. They’re not.

The CISO who thinks their IR playbook covers AI incidents probably hasn’t tested it. The ones who have tested it know it doesn’t.

Two kinds of AI incident — and why that split matters more than the list

AI incidents surged 56.4% from 2023 to 2024, reaching 233 documented cases. Most IR frameworks — including NIST SP 800-61, MITRE ATLAS and the GLACIS AI Incident Response Playbook — provide you with a taxonomy of six incident types and stop there. While useful, it misses the more important split: Failures the model causes on its own, versus failures caused by a human. Your detection approach, your containment logic and your legal exposure are very different between those two groups.

Model-originated failures — degradation, bias, hallucinations — happen when the system does exactly what it was built to do, just badly. The Epic Sepsis Model, deployed across hundreds of US hospitals, had a sensitivity of only 33% at external validation. It missed two-thirds of actual sepsis cases and flooded physicians with false alerts, as a 2021 JAMA Internal Medicine study found. No one attacked it. It just quietly stopped working while every dashboard stayed green.

Externally induced failures — adversarial attacks, data poisoning, privacy breaches — happen when someone corrupts the inputs or the training environment. Tesla’s Autopilot phantom braking cases, investigated by NHTSA across hundreds of thousands of vehicles, show what adversarial input failures look like in a safety-critical system. These two groups need different primary defenses and their own playbooks.

Then there is the hybrid case, which carries the most legal exposure right now. Hallucinations are model-originated but they land in court like human errors. When Air Canada’s chatbot invented a bereavement fare policy, the airline was held liable. When a US federal court let Mobley v. Workday proceed, it accepted that an AI hiring platform could be directly liable as an ‘agent’ of the employers using it. Neither failure looked like a security incident. Both ended up as legal ones. If your legal team is not on your IR call tree, your playbook is already incomplete.

The CIA triad doesn’t cover a hallucination

The CIA triad — confidentiality, integrity, availability — does not apply to most AI incidents. When Air Canada’s chatbot made up a policy, nothing was unavailable, nothing was changed without authorization, nothing was disclosed. The framework simply doesn’t reach it. When the Epic Sepsis Model missed two-thirds of cases, there was no breach, no intrusion, no indicator of compromise. By every traditional IR metric, the system looked fine.

This is not an edge case. Classical IR frameworks assume deterministic failures with static indicators of compromise — an assumption that breaks down against probabilistic systems. Microsoft’s Security Blog said it well in April 2026: A model may produce harmful output today and something completely different from the same prompt tomorrow. The root cause is not a line of code. It is a probability distribution, and as Microsoft’s Security Blog put it, you cannot patch a probability distribution.

The numbers confirm the gap. Average AI incident detection time is 4.5 days. Sixty-seven percent of AI incidents come from model errors, not adversarial attacks — yet security budgets keep funding perimeter tools built for the latter. We are looking for the wrong signals, with the wrong tools, for the wrong failure modes.

What a mature AI IR capability looks like

I get asked this at every conference I speak at. Here is the short answer: Three things that mature teams have in place before any incident occurs.

First, an AI Bill of Materials (AIBOM) for every production system. Think of it like a software SBOM, but for AI: It documents the base model, training datasets, third-party dependencies and the full component stack. Without it, you don’t know what your AI is made of — and you can’t investigate a data poisoning incident or a supply chain compromise without that baseline. The OWASP GenAI Security Project released an open-source AIBOM generator in December 2025 that produces output in CycloneDX format aligned with SPDX standards. It is practical to implement now.

Second, a model card for every production AI system — not a document in a shared drive nobody opens, but something your IR team can pull up in the first ten minutes of a response. Training data provenance. Model version. Known performance limits, including which subpopulations showed weaker accuracy in testing. Access controls. Blast radius if it fails. Most organizations I work with have model documentation written for data scientists that no one in security can use at 2am. That is not documentation. That is liability.

Third, a named data scientist on the IR call tree. Not someone to brief after the incident — someone with authority to interrogate model behavior in real time. Traditional IR has a network engineer on call. AI IR needs the same logic applied to the people who understand how the failing system works.

A fourth thing that very few teams have: A documented rollback threshold for each deployed model. A pre-agreed definition of what anomaly rate, drift metric or fairness deviation triggers containment or a fallback switch. Teams without this spend the first hours of an AI incident debating whether what they are seeing is actually a problem. Teams with a threshold spend those hours responding.

Four things to do before the next incident

Rewrite your detection triggers. Output anomaly scoring, data distribution monitoring for drift and behavioral tracking of model API usage need to be in your detection layer. They will not come from your SIEM. This is instrumentation work at the AI system level.

Redefine containment. For most AI incidents, ‘isolate the system’ is the wrong first move. Switching to a rule-based fallback while keeping the service running may cause less harm than taking the system offline and triggering a business escalation. Each deployed model needs pre-defined rollback criteria and a named fallback. Write those down now.

Get legal in the room before the incident. Mobley v. Workday means both the AI vendor and the deploying organization can carry liability for bias incidents. Air Canada means you cannot disclaim what your AI says to a customer. If your legal team is learning about an AI incident from a press inquiry, something has already gone wrong.

Build your AI inventory and treat it like your asset register. Start with the AIBOM for your highest-risk systems — those with access to customer data, financial decisions or clinical workflows. The GenAI-IRF framework gives you a structured taxonomy for this work and the GLACIS AI Incident Response Playbook maps it to NIST SP 800-61 and MITRE ATLAS procedures your team can adapt without starting from scratch.

Forty-two percent of organizations have already had a suspicious or confirmed AI incident, and more than half say their security posture is catching up, inconsistent or reactive. Updating your playbook isn’t optional. Fix it before you need it.

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Everything in Python is an object, or so the saying goes. If you want to create your own custom objects, with their own properties and methods, you use Python’s class object to do it. But creating classes in Python sometimes means writing loads of repetitive, boilerplate code; for example, to set up the class instance from the parameters passed to it or to create common functions like comparison operators.

Dataclasses, introduced in Python 3.7 (and backported to Python 3.6), provide a handy, less-verbose way to create classes. Many of the common things you do in a class, like instantiating properties from the arguments passed to the class, can be reduced to a few basic instructions by using dataclasses.

The backstage power of Python dataclasses

Consider this example of a conventional class in Python:

class Book:
    '''Object for tracking physical books in a collection.'''
    def __init__(self, name: str, weight: float, shelf_id:int = 0):
        self.name = name
        self.weight = weight # in grams, for calculating shipping
        self.shelf_id = shelf_id
    def __repr__(self):
        return(f"Book(name={self.name!r},
            weight={self.weight!r}, shelf_id={self.shelf_id!r})")

The biggest headache here is that you must copy each of the arguments passed to __init__ to the object’s properties. This isn’t so bad if you’re only dealing with Book, but what if you have additional classes—say, a Bookshelf, Library, Warehouse, and so on? Plus, typing all that code by hand increases your chances of making a mistake.

Here’s the same class implemented as a Python dataclass:

from dataclasses import dataclass

@dataclass
class Book:
    '''Object for tracking physical books in a collection.'''
    name: str
    weight: float 
    shelf_id: int = 0

When you specify properties, called fields, in a dataclass, the @dataclass decorator automatically generates all the code needed to initialize them. It also preserves the type information for each property, so if you use a linting too that checks type information, it will ensure that you’re supplying the right kinds of variables to the class constructor.

Another thing @dataclass does behind the scenes is to automatically create code for common dunder methods in the class. In the conventional class above, we had to create our own __repr__. In the dataclass, the @dataclass decorator generates the __repr__ for you. While you still can override the generated code, you don’t need to manually write code for the most common cases.

Once a dataclass is created, it is functionally identical to a regular class. There is no performance penalty for using a dataclass. There’s only a small performance penalty for declaring the class as a dataclass, and that’s a one-time cost when the dataclass object is created.

Advanced Python dataclass initialization

The dataclass decorator can take initialization options of its own. Most of the time, you won’t need to supply them, but they can come in handy for certain edge cases. Here are some of the most useful ones (they’re all True/False):

• frozen: Generates class instances that are read-only. Once data has been assigned, it can’t be modified. This is useful if instances of the dataclass are intended to be hashable, which allows them (among other things) to be used as dictionary keys. If you set frozen, the generated dataclass will also automatically have a __hash__ method created for it. (You also can use unsafe_hash=true to generate a __hash__ method for the dataclass, regardless of whether the dataclass is read-only or not, but that call invokes unsafe behavior.)
• slots: Allows instances of dataclasses to use less memory by only allowing fields explicitly defined in the class. The memory savings really only manifest at scale — e.g., when generating upwards of thousands of instances of a given object. If you’re only generating a couple of dataclass instances at a time, it probably isn’t worth it.
• kw_only: This setting makes all fields for the class keyword-only, so they must be defined using keyword arguments rather than positional arguments. This is a useful way to provide a dataclass instance’s arguments by way of a dictionary.

Customizing Python dataclass fields

How dataclasses work by default should be okay for the majority of use cases. Sometimes, though, you need to fine-tune how the fields in your dataclass are initialized. The following code sample demonstrates how to use the field function for fine-tuning:

from dataclasses import dataclass, field
from typing import List

@dataclass
class Book:
    '''Object for tracking physical books in a collection.'''
    name: str     
    condition: str = field(compare=False)    
    weight: float = field(default=0.0, repr=False)
    shelf_id: int = 0
    chapters: List[str] = field(default_factory=list)

When you set a default value to an instance of field, it changes how the field is set up depending on what parameters you provide. These are the most commonly-used options for field (though there are others):

• default: Sets the default value for the field. You should use default if you a) use field to change any other parameters for the field, and b) want to set a default value on the field on top of that. In the above example, we used default to set weight to 0.0.
• default_factory: Provides the name of a function, which takes no parameters, that returns some object to serve as the default value for the field. In the example, we wanted chapters to be an empty list.
• repr: By default (True), controls if the field in question shows up in the automatically generated __repr__ for the dataclass. In this case, we didn’t want the book’s weight shown in the __repr__, so we used repr=False to omit it.
• compare: By default (True), includes the field in the comparison methods automatically generated for the dataclass. Here, we didn’t want condition to be used as part of the comparison for two books, so we set compare=False.

Note that we adjusted the order of the fields so the non-default fields appeared first.

Controlling Python dataclass initialization

At this point, you might be wondering, “How do I get control over the init process to make more fine-grained changes if the __init__ method of a dataclass is generated automatically?” In these cases, you can use the __post_init__ method or or InitVar type.

__post_init__

If you include the __post_init__ method in your dataclass definition, you can provide instructions for modifying fields or other instance data:

from dataclasses import dataclass, field
from typing import List

@dataclass
class Book:
    '''Object for tracking physical books in a collection.'''
    name: str    
    weight: float = field(default=0.0, repr=False)
    shelf_id: Optional[int] = field(init=False)
    chapters: List[str] = field(default_factory=list)
    condition: str = field(default="Good", compare=False)

    def __post_init__(self):
        if self.condition == "Discarded":
            self.shelf_id = None
        else:
            self.shelf_id = 0

In this example, we’ve created a __post_init__ method to set shelf_id to None if the book’s condition is initialized as "Discarded". Note how we use field to initialize shelf_id, and pass init as False to field. This means shelf_id won’t be initialized in __init__, but it is registered as a field with the dataclass overall, with type information.

InitVar

Another way to customize Python dataclass setup is to use the InitVar type. This lets you specify a field that will be passed to __init__ and then to __post_init__, but won’t be stored in the class instance.

By using InitVar, you can take in parameters when setting up the dataclass that are only used during initialization. Here’s an example:

from dataclasses import dataclass, field, InitVar
from typing import List

@dataclass
class Book:
    '''Object for tracking physical books in a collection.'''
    name: str     
    condition: InitVar[str] = "Good"
    weight: float = field(default=0.0, repr=False)
    shelf_id: int = field(init=False)
    chapters: List[str] = field(default_factory=list)

    def __post_init__(self, condition):
        if condition == "Unacceptable":
            self.shelf_id = None
        else:
            self.shelf_id = 0

Setting a field’s type to InitVar (with its subtype being the actual field type) signals to @dataclass to not make that field into a dataclass field, but to pass the data along to __post_init__ as an argument.

In this version of our Book class, we’re not storing condition as a field in the class instance. We’re only using condition during the initialization phase. If we find that condition was set to "Unacceptable", we set shelf_id to None—but we don’t store condition itself in the class instance.

When to use Python dataclasses, and when not to

One common scenario for using dataclasses is to replace the namedtuple. Dataclasses offer the same behaviors and more, and they can be made immutable (as namedtuples are) by simply using @dataclass(frozen=True) as the decorator.

Another possible use case is replacing nested dictionaries (which can be clumsy) with nested instances of dataclasses. If you have a dataclass Library, with a list property of shelves, you could use a dataclass ReadingRoom to populate that list, then add methods to make it easy to access nested items (e.g., a book on a shelf in a particular room).

It’s also important to note, though, that not every Python class needs to be a dataclass. If you’re creating a class mainly to group together a bunch of static methods, rather than as a container for data, you don’t need to make it a dataclass. For instance, a common pattern with parsers is to have a class that takes in an abstract syntax tree, walks the tree, and dispatches calls to different methods in the class based on the node type. Because the parser class has very little data of its own, a dataclass isn’t useful here.

Generative AI is a kind of artificial intelligence that creates new content, including text, images, audio, and video, based on patterns it has learned from existing data.

Today’s generative models are typically built on foundation-model architectures such as large-language models (LLMs) and multimodal systems, enabling them to carry on conversations, answer questions, write stories, generate code, and produce images or videos from brief prompts.

Generative AI is different from discriminative AI, which draws distinctions between different kinds of input. Where discriminative AI answers questions like “Is this image of a rabbit or a lion?”, generative AI instead responds to prompts such as “Describe to me how a rabbit and lion look different from one another” or “Draw me a picture of a lion and a rabbit sitting next to each other” — and in both cases produces text or imagery that, while grounded in the AI’s training data, isn’t just a copy of something that already existed.

Just a few years ago, generative AI was once a novelty focused on chatbots and artistic image generation. Today, it has become a core enterprise technology, and powers everything from content creation and software development to customer support and analytics workflows. But with that power comes a new set of challenges — from model alignment and hallucination to governance and data-integration hurdles.

In this article, we’ll look at how generative AI works, explore how it has evolved into the foundation-model era, examine how to implement it effectively, and offer best practices for getting value out of it, today and in the future.

How does generative AI work?

For decades, early artificial-intelligence efforts often focused on rule-based systems or narrowly trained models that were built for one task at a time. While these efforts produced useful systems that could reason and solve human tasks, they were generally a far cry from sci-fi visions of thinking machines. Programs that could talk to people never seemed to get very far past the level of ELIZA, a “computer therapist” created at MIT in the mid 1960s; even Siri and Alexa after much fanfare were revealed to be fairly limited.

The big structural shift that gave birth to modern generative AI came with the concept of a transformer, first introduced in “Attention Is All You Need,” a 2017 paper from Google researchers.

Using a transformer architecture as a basis, you can build a system that derives meaning from analyzing long sequences of input tokens (words, sub-words, bytes) to understand how different tokens might be related to one another, then determines how likely any given token is to come next in a sequence, given the others. In AI lingo, we call these systems models. Because a model analyzes very large datasets and parameter counts, it can pick up on statistical patterns and knowledge implicitly embedded in the data.

This is all easier said than done. The process of adjusting a model’s internal parameters so it gets better at predicting the next token in sequences is called training. During training, the model repeatedly guesses the next token in a given sequence, compares its prediction to the actual one, measures the error, and updates its parameters to reduce that error across billions of examples. Over time, that process teaches the model the statistical relationships that will allow it to generate coherent language (or code, or images) later.

What is a foundation model?

You’ll often hear the word large used for transformer-based models of these types, like the LLMs we mentioned earlier. Large in this context refers to the large number of internal numerical values that the model adjusts during training to represent what it has learned, along with breadth and diversity of data used to train the model and the underlying compute resources powering this whole process.

This is in contrast with the narrow models of the earlier era of AI/ML, which werebuilt for one purpose and trained on a limited dataset. For instance, a spam filter may be very good at what it does, but it’s only trained on email data and all it can do is classify emails. Large models, by contrast, serve as what’s known as foundation models. They’re trained broadly on diverse data (text, code, images, or multimodal data) and then adapted or specialized for many downstream tasks.

These foundation models are the basis for most of the popular generative AI tools and services on the market today. They can be specialized in several ways:

• Fine-tuning: Giving a foundation model further training on a smaller, task-specific dataset
• Retrieval-augmented generation (RAG): Giving the model the ability to pull in external knowledge when asked a question
•  Prompt engineering: Tailoring a query so the model gives the sort of answers you’re looking for.

How do AI systems write computer code?

One of the surprising discoveries of the gen AI era was that in recent years was that foundation models trained on natural-language text can also, when fine-tuned with code examples, also write computer code — often better than many purpose-built systems. Still, it makes sense, when you think about it — after all, high-level computer languages are designed by humans and ultimately based on human language.

This 2023 InfoWorld article highlights how models like PaLM, LLaMA and other transformer-based systems fine-tuned on code repositories propelled this shift, but since AI giants like OpenAI have moved into this space. This all matters because code generation (or code-assisted productivity) has become a key enterprise use case of generative AI — perhaps the key use, given the industry’s enthusiastic adoption of it.

What are AI agents?

So far, we’ve been talking about chatbots, writing assistants, image-generation tools. They respond to prompts, output text or images, and then stop. A new category of tool called agentic AI goes further: it plans, executes, and in many cases learns as it works.

Because large models already understand language, code, and even structured data to some extent, they can be repurposed to generate not only descriptive text but operational instructions. For example: an agent might parse the intent “generate a sales-report”, then format internal calls like getData(salesDB, region=NA, period=lastQuarter), and then call an API, all by generating text that’s interpreted as instructions. The MCP framework standardizes the “language” of those instructions and the plug-points into tools and data so that the model doesn’t need bespoke integrations for each new workflow.

These kinds of autonomous agents have several enterprise use cases:

• Software automation: Agents that generate code, call unit tests, deploy builds, monitor logs and even roll back changes autonomously.
• Customer support: Instead of simply drafting responses, agents interact with CRM APIs, update ticket statuses, escalate issues, and trigger follow-up workflows.
• IT operations/AIOps: Agents monitor infrastructure, identify anomalies, open/close tickets, or auto-remediate based on defined rules and context from logs.
• Security: Agents may detect threats, initiate alerts, isolate compromised systems, or even attempt to manage threat containment — though this raises new risks.

How can you implement generative AI in the enterprise?

We’ve now touched on what generative AI can do. But how can you make it work reliably in your business. The difference between a pilot and full-scale deployment often comes down to systems, structure and governance as much as to models themselves. InfoWorld’s Matt Asay offers a deep dive into enterprise gen AI essentials, but here are some important points to keep in mind:

Choosing between API, open-source or custom fine-tuned models. One of the first major decisions for any enterprise project is: do you use a model via an API (e.g., from a vendor like OpenAI or Anthropic), deploy an open-source model internally, or build/fine-tune a custom model yourself? Each has trade-offs.

APIs offer speed and minimal setup, but may expose data, limit customization or accrue high cost — and will leave you at the mercy of your vendor. Open source allows internal control and may ease fine-tuning, but requires infrastructure, expertise, and support. Custom fine-tuning gives you the tightest alignment to your use-case, but lengthens time to value and increases risk.

Governance, data privacy and compliance. Deploying generative AI in an enterprise setting raises new governance, privacy and regulatory issues. For example: Who owns the data that’s ingested? How is proprietary data protected if you call a third-party API? What traceability exists for model outputs—a huge question for regulated industries? One useful framework is covered in “A GRC framework for securing generative AI” Data governance must adapt for the new era,  and new frameworks are evolving to help.

Human-in-the-loop review. Even the best models make mistakes and cannot simply be put on autopilot. You need a human-in-the-loop (HITL) process: real people need to review outputs, validate for bias, approve high-stakes content, and tune prompts or models based on feedback. Incorporating HITL checkpoints helps mitigate risk and improve overall quality.

Integration with existing systems and RAG pipelines. Retrieval-augmented generation, which we touched on earlier, connects foundation models into business workflows, systems, and enterprise data stores. RAG can bind LLMs to your organization’s internal knowledge bases, thereby reducing hallucinations (which we’ll discuss in a moment) and increasing the relevance of gen AI output.

What causes AI hallucinations?

Probably the biggest limitation of generative AI is what those in the industry call hallucinations, which is a perhaps misleading term for output that is, by the standards of humans who use it, false or incorrect.  

Every generative AI system, no matter how advanced, is built around prediction. Remember, a model doesn’t truly know facts—it looks at a series of tokens, then calculates, based on analysis of its underlying training data, what token is most likely to come next. This is what makes the output fluent and human-like, but if its prediction is wrong, that will be perceived as a hallucination.

Foundry

Because the model doesn’t distinguish between something that’s known to be true and something likely to follow on from the input text it’s been given, hallucinations are a direct side effect of the statistical process that powers generative AI. And don’t forget that we’re often pushing AI models to come up with answers to questions that we, who also have access to that data, can’t answer ourselves.

In text models, hallucinations might mean inventing quotes, fabricating references, or misrepresenting a technical process. In code or data analysis, it can produce syntactically correct but logically wrong results. Even RAG pipelines, which provide real data context to models, only reduce hallucination—they don’t eliminate it. Enterprises using generative AI need review layers, validation pipelines, and human oversight to prevent these failures from spreading into production systems.

What are some other problems with generative AI?

Generative AI has proven to be such a disruptive technology that’s stoking near-apocalyptic fears that it will result in a superintelligence that will enslave or destroy humanity. Meanwhile, in the present day, increasingly troubling reports of so-called AI psychosis are emerging, where people have mental health episodes triggered by the uncanny and sometimes sycophantic ways chatbots affirm whatever you talk to them about and try to keep the conversation going.

Compared to such existential questions, the following business-related problems may seem petty. But they’re real issues for enterprises considering investing in AI tools.

• Data leakage and regulatory risk. When a model is fine-tuned or prompted with sensitive information, that data may be memorized and unintentionally reproduced. Using third-party APIs without strict controls can expose proprietary or personally identifiable information (PII). Regulatory frameworks like GDPR and HIPAA require explicit governance around where training data resides and how inference results are stored.
• Prompt injection occurs when an attacker manipulates a model’s instructions—embedding hidden directives or malicious payloads in user input or external content the model reads. This can override safety rules, expose internal data, or execute unintended actions in agentic systems. Guardrails that sanitize inputs, restrict tool-calling permissions, and validate outputs are becoming essential.
• Copyright and content ownership. Many foundation models are trained on data scraped from the public internet, creating disputes over copyright and data provenance. Enterprises using generated output commercially need to confirm usage rights and review indemnity terms from vendors.
• Unrealistic productivity expectations. Finally, organizations sometimes expect generative AI to deliver instant productivity gains. The reality, it turns out, is more mixed. Enterprise adoption requires infrastructure, governance, retraining, and cultural change. The models accelerate work once properly integrated, but they don’t automatically replace human judgment or oversight.

The current generation of enterprise AI systems includes several layers of defense against these risks:

• Guardrails that constrain model behavior and filter unsafe outputs.
• Model validation frameworks that measure factual accuracy and consistency before deployment.
• Policy layers that enforce compliance rules, redact sensitive data, and log model actions.

These safeguards reduce—but don’t remove—the inherent uncertainty that defines generative AI.

GenAI: essential for the enterprise

Generative AI has evolved from a novelty into a core layer of enterprise technology. Foundation models and agentic systems now power automation, analytics, and creative workflows — but they remain fundamentally probabilistic tools. Their strength lies in scale and adaptability, not perfect understanding.

For organizations, success depends less on chasing model breakthroughs than on integrating these systems responsibly: building guardrails, maintaining oversight, and aligning them with real business needs. Used wisely, generative AI can amplify human capability rather than replace it.

Node.js is a popular and versatile cross-platform JavaScript runtime environment. Node was the first runtime to allow developers to run JavaScript outside the browser, opening a new world of possibilities in server-side JavaScript. Its ease of use, massive ecosystem and performance characteristics have continued to secure its place as one of the most important technologies of the modern web.

Anytime you need to run JavaScript on the server—be it for a systems utility, a REST API, data processing, or anything else—Node is an excellent choice. There are newer runtimes, namely Deno and Bun, but Node remains the standard for server-side JavaScript.

Also see: 10 JavaScript concepts you need to succeed with Node.

Getting started with Node

If you haven’t already experienced Node, this article will introduce you. We’ll step through installing Node and the NPM package manager, spinning up a simple web server, and using the Node cluster module to take advantage of multiple CPU cores.

We’ll also look at using the NPM package manager to install additional Node modules and other JavaScript packages. And we’ll dip a toe into using a Node framework, in this case the ubiquitous Express server, to create more feature-rich and flexible Node.js servers. Let’s get started!

Installing Node and NPM

There are a few ways to install Node, including the installer that Node itself provides, but the recommended way is with a version manager. The most common version manager is NVM. This makes it easy to install Node and change versions when you need to. (There is also a Microsoft Windows-specific version called nvm-windows.)

NVM can be installed with an installer or using a CLI. In the following example, we use curl:

$ curl -o- https://raw.githubusercontent.com/nvm-sh/nvm/v0.40.3/install.sh | bash

Once you have NVM installed, installing the most recent version of Node is simple:

$ nvm install latest

The install latest command makes the latest version available. Mine is Node 24.9.0, so I activate it with:

$ nvm use 24.9.0

Anytime you need to install another version of Node, you can use nvm install and nvm use to switch between them.

You should now see Node available at your command prompt:

$ node -v

v24.9.0

When you install Node this way, the Node package manager (NPM) is also installed:

$ npm -v

11.6.0

Note that using NVM also avoids potential permissions issues with NPM packages when using the installer.

A simple web server in Node

To start simply, we can use an example from the Node homepage. Copy the Synopsis example code as directed there and paste it into your code editor, then save it as example.js:

const http = require('node:http');

const hostname = '127.0.0.1';
const port = 3000;

const server = http.createServer((req, res) => {
  res.statusCode = 200;
  res.setHeader('Content-Type', 'text/plain');
  res.end('Hello, InfoWorld!\n');
});

server.listen(port, hostname, () => {
  console.log(`Server running at http://${hostname}:${port}/`);
});

Open a shell in the directory where you saved the file, and run the file from your command line:

$ node example.js

Server running at http://127.0.0.1:3000/

You can now go to the browser and check it out at 127.0.0:3000, and you should see a simple greeting. Back at the terminal, press Control-C to stop the running server.

Before we go further, let’s pull apart the code.

Creating a simple HTTP server with Node

We start with the command:

const http = require(‘http’);

This is how you include a module in your code, in this case, the standard http module. (The http module ships with Node, so you don’t have to add it as a dependency.) This module provides the createServer and listen functions we’ll use later on.

You might have noted that this example used a CommonJS import. While older, this style of import is still very common in Node programs as well as some documentation. However, it’s gradually being phased out in favor of ES Modules (ESM), the standardized module system introduced in ECMAScript 2015. An ESM import would look like this:

import http from 'http';

After we import the http module, we define a couple of values we need (hostname and port):

const hostname = '127.0.0.1';

const port = 3000;

Next, we create the server:

const server = http.createServer((req, res) => {
  res.statusCode = 200;
  res.setHeader(‘Content-Type’, ‘text/plain’);
  res.end(‘Hello World\n’);
});

The creatServer command accepts a callback function, which we define using the fat arrow notation. The callback function passes two arguments, the request (req) and response (res) objects needed to handle HTTP requests. The req argument contains the incoming HTTP request, which in this case is ignored. The res.end method sets the response data to ‘Hello InfoWorld\n’ and tells the server that it is done creating the response.

Next, we have:

server.listen(port, hostname, () => {
  console.log(`Server running at http://${hostname}:${port}/`);
});

The server.listen function accepts three arguments. The first two are the port and hostname, and the third is a callback that is executed when the server is ready (in this case, it prints a message to the console).

Having all the event handlers defined as callbacks is one of the most subtle and powerful parts of Node. It’s key to Node’s asynchronous non-blocking architecture.

Node.js runs on an event loop, which always reverts to handling events when not otherwise engaged. It’s like a busy order-taker continually picking up orders and then updating the order-maker with their order. We receive updates via the callbacks.

A multi-process web server with Node

Node’s asynchronous, non-blocking nature makes it good at handling many parallel requests, but it’s not truly concurrent by default. There are a few ways to make a Node application use multiple threads for true concurrency. One of the simplest is to use the PM2 project, which lets you run the same Node application in many processes.

By launching each application instance in its own process, the operating system can make use of multiple cores on the machine. This is not usually a concern at first, but it’s a key performance consideration to bear in mind.

You can install PM2 globally like so:

$ npm install -g pm2

For our example, we want to make it obvious that the different processes are handling requests. We can achieve that goal with a small change to the server:

res.end(`Hello, InfoWorld! Handled by ${process.pid}`);

The process.pid field is a built-in environment variable, providing a unique ID for the currently running process in Node. Once PM2 is installed and the app is updated, we can run it like so:

$ pm2 start example.js -i max

That should launch several instances of the same program, as shown here:

Matthew Tyson

Then, if you open multiple windows, you can see the unique ID of each instance:

Matthew Tyson

An Express web server with Node

For our final example, we’ll look at setting up an Express web server in Node. This time we’ll use NPM to download Express and its dependencies. NPM is one of the greatest storehouses of software on the planet, with literally millions of libraries available. Knowing how to use it is essential for working with Node.

NPM works just like other package managers you may have used, letting you define and install dependencies in a structured way. To install Express, go to your project directory and type:

$ npm install express

Node should respond with something like: added 68 packages in 5s.

You will notice several directories have been added to a /node_modules directory. Those are all the dependencies needed for Express. You usually don’t have to interact with node_modules yourself, but it’s good to know that’s where things are saved.

Now look at the package.json file, which will have something like this in it:

{
  "dependencies": {
	"express": "^5.1.0"
  }
}

This is how dependencies are defined in NPM. It says the application needs the express dependency at version 5.1.0 (or greater).

Setting up the Express server in Node

Express is one of the most-deployed pieces of software on the Internet. It can be a minimalist server framework for Node that handles all the essentials of HTTP, and it’s also expandable using “middleware” plugins.

Since we’ve already installed Express, we can jump right into defining a server. Open the example.js file we used previously and replace the contents with this simple Express server:

import express from 'express';

const app = express();
const port = 3000;

app.get('/', (req, res) => {
  res.send('Hello, InfoWorld!');
});

app.listen(port, () => {
  console.log(`Express server at http://localhost:${port}`);
});

This program does the same thing as our earlier http module version. The most important change is that we’ve added routing. Express makes it easy for us to associate a URL path, like the root path (‘/’), with the handler function.

If we wanted to add another path, it could look like this:

app.get('/about', (req, res) => {
  res.send('This is the About page.');
});

Once we have the basic web server set up with one or more paths, we’ll probably need to create a few API endpoints that respond with JSON. Here’s an example of a route that returns a JSON object:

app.get('/api/user', (req, res) => {
  res.json({
	id: 1,
	name: 'John Doe',
	role: 'Admin'
  });
});

That’s a simple example, but it gives you a taste of working with Express in Node.

Conclusion

In this article you’ve seen how to install Node and NPM and how to set up both simple and more advanced web servers in Node. Although we’ve only touched on the basics, these examples demonstrate many elements that are required for all Node applications, including the ability to import modules.

Whenever you need a package to do something in Node, you will more than likely find it available on NPM. Visit the official site and use the search feature to find what you need. For more information about a package, you can use the npms.io tool. Keep in mind that a project’s health depends on its weekly download metric (visible on NPM for the package itself). You can also check a project’s GitHub page to see how many stars it has and how many times it’s been forked; both are good measures of success and stability. Another important metric is how recently and frequently the project is updated and maintained. That information is also visible on a project’s GitHub Insights page.

Jurassic Park wasn’t really about dinosaurs.

It was about arrogant people building systems they believed were controllable.

“Life finds a way” is probably the most famous line from the entire franchise. Ian Malcolm’s warning that no matter how sophisticated the technology becomes, no matter how expensive the fences are, and no matter how confident the operators feel, nature eventually escapes containment.

And in every movie, it does.

The dinosaurs always get out. The systems fail. Eventually, the humans lose control.

What makes Jurassic Park fascinating is that despite advanced monitoring, complex containment systems and sophisticated operational controls, the outcome never really changes. At its core, the story is about people mistaking visibility for control.

Cybersecurity has the same problem.

For years, security teams have operated under the assumption that with enough tooling, governance, process, maturity and spend, we can build environments that are effectively secure. Maybe not perfect, but secure enough that compromise becomes rare and manageable.

But attackers find a way.

Given enough time, skill or motivation, they eventually identify the weakness nobody considered. The overlooked privilege. The dependency nobody mapped. The misconfiguration hiding behind layers of dashboards, process, and compliance reporting.

We are already seeing this play out. Nation-state attacks are becoming increasingly sophisticated, while AI-driven exploit discovery is beginning to compress vulnerability research from weeks into minutes.

The raptors are learning faster now.

Mistaking visibility for control

That does not mean prevention no longer matters. The fences in Jurassic Park still slowed the dinosaurs down. They created friction. They reduced exposure. Modern security controls do the same thing.

But the failure in Jurassic Park was never simply that the fences broke.

It was that the entire system assumed the fences represented certainty.

Cybersecurity often makes the same mistake.

The industry has become incredibly good at demonstrating preparedness in controlled environments. Dashboards. Compliance reports. Tabletop exercises. RTO metrics. Recovery attestations.

Jurassic Park had dashboards too.

The problem is that visibility is often mistaken for survivability. Organizations can prove they monitored the environment, documented the process, and ran the exercise, while still having very little confidence that the business could continue operating during a genuine systemic failure.

Most organizations still operate with an implicit belief that compromise is exceptional rather than inevitable. Disaster recovery plans, business continuity workshops, and annual tabletop exercises are treated as evidence of resilience. In reality, many of them are carefully controlled simulations of a world that no longer exists.

Traditional disaster recovery was designed for an era where infrastructure changed slowly, applications were relatively static, and dependencies were limited enough that recovery assumptions could remain valid for months or even years.

That world is gone. AI killed it.

Environments now evolve constantly. Cloud infrastructure changes daily. AI-assisted development accelerates release cycles. Applications rely on sprawling third-party ecosystems. APIs connect systems in ways many organizations do not fully understand. Entire workloads appear and disappear dynamically.

The environment you tested last quarter may no longer exist today.

And yet many resilience programs still operate as if annual or quarterly testing provides meaningful confidence.

Most companies do not really test resilience.

They test optimism.

The backup fallacy

And nowhere is this overconfidence more obvious than backups.

Somewhere along the way, organizations confused “having backups” with “being resilient.” Those are not remotely the same thing.

A backup simply proves you stored a copy of something at a specific point in time. It does not prove you can survive.

Most recovery models were designed in the late 90s and early 2000s for relatively static systems and predictable infrastructure. The core philosophy has barely evolved since then, even as environments have become increasingly distributed, ephemeral, and interconnected.

Restoring data is not the same as restoring operations.

Restoring infrastructure is not the same as restoring business functionality. Modern application are complex and rely on ephemeral elements, third party components and applications as well as complex data flows not just data sets.

Very few organizations continuously validate whether they can recover full feature-function applications, maintain operational workflows, preserve data integrity, reconnect dependencies, restore permissions correctly, or continue operating under active attack conditions.

We built incredibly sophisticated telemetry for understanding how we die.

We built almost none for proving we can survive.

That gap is becoming impossible to ignore.

The recent rise of continuous resilience testing and recovery validation is not accidental. It reflects a growing realization that recovery assumptions themselves may no longer be trustworthy.

Static resilience models are struggling to survive dynamic infrastructure.

This is where resilience starts becoming an engineering problem rather than a compliance exercise.

When restoration assumptions fail

Because the real question is no longer, “How quickly can we restore the application?”

The real question is, “What happens if we cannot restore it?”

Jurassic Park repeatedly explored exactly this scenario. The real panic never started when the fences failed. It started when the operators realized they could not regain control quickly enough.

Businesses now face the same risk.

What happens if AWS experiences a prolonged outage? What happens if Azure Identity Services fail globally? What happens if Stripe, Salesforce, Slack, or Microsoft 365 disappear for days rather than hours?

Many organizations do not actually have business continuity strategies for those situations.

They have restoration assumptions.

Twenty years ago, most organizations directly owned large portions of their operational stack. Today, companies increasingly rent critical business capability from a relatively small number of providers.

Identity. Infrastructure. Communications. Payments. Collaboration. Customer operations.

The efficiency gains are enormous.

So is the concentration risk.

Resilience as an engineering discipline

Historically, business continuity planning assumed localized disruption. A building burned down. A regional data center failed. A storm impacted an office. The internet itself was not the dependency.

Today, entire businesses are built on tightly interconnected SaaS and cloud ecosystems where operational survivability depends on third parties remaining continuously available.

We optimized organizations for efficiency, automation, integration, and scale.

Not necessarily survivability.

That is why resilience needs to evolve beyond annual tabletop exercises and static recovery plans.

True resilience is not a binder sitting on a shelf. It is not a workshop performed once a year. It is not a recovery document written against an environment that changed six months ago.

It is a continuous understanding of the environment itself.

It requires live telemetry, operational visibility, dependency awareness, continuous validation, and the ability to adapt under changing conditions.

Adapting to chaos

The survivors in Jurassic Park only succeeded once they stopped pretending the environment was fully controllable and instead adapted to the reality in front of them.

Cybersecurity needs to make the same shift.

Attackers will keep adapting.

AI will accelerate faster than most governance models can handle.

Complexity will continue to outpace our assumptions about control.

The organizations that survive will not necessarily be the ones with the tallest fences. They will be the ones who understand their environments deeply enough to continue operating when control is lost.

The goal was never to eliminate chaos.

It was to survive long enough to adapt to it.

Because resilience is not about preventing chaos.

It is about operating through it.

Because eventually, one way or another, life finds a way.

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Every day this past week I did something I suspect millions of other people also did: I stared at an LLM model picker and wondered which one I was supposed to want.

OpenAI just released ⁠GPT-5.6 Sol, Terra, and Luna. Sol is the flagship. Terra offers much of its intelligence for less money. Luna is cheaper still. Anthropic released ⁠Claude Sonnet 5 at the end of June and Opus 4.8 the month prior, with a little Fable 5 emerging in between. Meanwhile, Google, which seemed to be winning the model wars a few months ago, is now getting shade from Gergely Orosz, who ⁠argues that Gemini has slipped outside the top tier for software development and has been out of the major model release game for eons (May 19).

Perhaps Orosz is right. Perhaps he’ll be wrong again in six weeks. Honestly, it’s exhausting.

I use ChatGPT and Claude constantly and still have no principled idea which model to choose most of the time. I tend to click whatever looks like the biggest, most expensive option because I don’t know what I’m giving up by choosing something smaller. “Instant” sounds dangerously unserious. “Thinking” sounds expensive but powerful.

A quick survey of my LinkedIn crowd suggests others also feel my “WHICH MODEL???” pain. More importantly, I suspect most enterprises do, too.

A model doesn’t rot

Before getting carried away, however, it’s worth considering whether any of this model churn actually matters. After all, a model doesn’t rot. The model an enterprise put into production in March performs just as well in July as it did when the company selected it. “Obsolete” generally means that something better now exists, not that the deployed model suddenly stopped summarizing insurance claims or classifying support tickets. (In other words, once you have something working, the idea that “but maybe Opus 200.2 is better!” is really a FOMO problem, not a performance issue.)

Most enterprise workloads don’t live at the frontier anyway. Extraction, summarization, classification, document comparison, and customer-service assistance often work perfectly well with smaller, cheaper models. OpenAI’s own pitch for the trio of GPT-5.6 models isn’t simply that Sol is better. It’s that ⁠Terra and Luna deliver different combinations of intelligence, latency, and cost. Luna, the cheapest tier, nearly matches the previous generation’s peak performance at less than half the estimated cost, according to OpenAI.

The practical question, of course, is where to start. An enterprise can’t test every model, every reasoning setting, and every price tier before doing any work. So here’s my advice (which I don’t follow in my own work, but I’m not defining enterprise strategy and can be a little price-insensitive). Start with the cheapest credible model that appears capable of the task. Give it a representative set of real examples and, before you start testing, define what counts as good enough. If it passes, stop. If it fails, move up a tier or try a model with strengths better suited to the work.

That sounds almost offensively simple, but it reverses the way many people, including me, use these products. We start with the biggest model because we’re afraid of what we might lose. Enterprises should start lower and require evidence before paying for more intelligence.

There are exceptions, of course. For genuinely difficult work, such as autonomous coding, complex research, or high-stakes reasoning, beginning with a frontier model may save time. But even then, the goal should be to establish a quality ceiling, then test whether a cheaper model can meet it. It’s changing the question from “which model is best?” to “what is the least expensive model that reliably clears the bar for this job?”

For many workloads, that price improvement matters more than a few extra benchmark points. ⁠As I argued back in 2023, following AI hype doesn’t help anyone. If your model strategy depends on whichever benchmark screenshot is circulating on X this week, you don’t have a strategy. Not a viable one, anyway. Pick a model and ignore the noise.

Except, of course, when that noise suggests a serious signal.

Sometimes better really is better

Frontier improvements aren’t always incremental, making it advantageous to consider an upgrade. Coding is the obvious example. There’s a significant difference between a model that suggests the next few lines of code and one that can inspect a repository, plan a change, use tools, run tests, discover its own mistakes, and keep working for an extended period. That isn’t merely a nicer autocomplete experience. It can reorganize a development workflow.

This is why enterprises can’t simply standardize on an 18-month-old model and declare victory. In some areas, particularly software development and other agentic work, better models can unlock compounding productivity. A model that reliably completes 80% of a bounded task rather than 50% may justify an entirely different division of labor between humans and machines.

Still, that upgrade isn’t free.

Models differ in how they interpret instructions, call tools, manage context, refuse requests, and fail. Prompts and scaffolding tuned for one model can regress when moved to another. Or costs can explode. As one of my Oracle colleagues discovered just this week, running the same tasks in GPT 5.6 was orders of magnitude more expensive than 5.5. The API change may be trivial, but the revalidation and implications are not.

This leaves enterprises caught between two bad options. They can freeze and potentially miss out on meaningful improvements or chase every release and repeatedly test production systems on faith. What to do?

Stop making model bets

The answer is to stop making LLM bets and start making job-to-be-done bets. Stop asking which model is fastest. Instead, figure out what work you are trying to improve. What does a good result look like? How much latency and cost can the workflow tolerate? How wrong can it be before a human must intervene? Once those questions have answers, model selection becomes less opaque.

A difficult code migration may justify GPT-5.6 Sol or Claude Sonnet 5. A repetitive classification task may work just as well with Luna or another smaller model. A regulated workflow may require a model or deployment option that offers particular data controls. Sometimes the correct model is no LLM at all, like when I’m writing this post. Sorry, AI vendors! (At least you won’t get blamed for my mistakes.)

This is where evaluations become the center of enterprise AI strategy. ⁠As I’ve said before, most companies don’t have an AI quality problem so much as an AI measurement problem. Hence, a private evaluation suite built from real company work is the only leaderboard that matters. Does the new model materially improve quality? If so, use it! Does it reduce cost or latency? Again, that’s your free pass to adoption. Does the improvement justify the expense and effort of revalidation? If yes, continue.

Make model releases boring

As important as the model is, keep in mind that AI success always comes back to your company’s data, your company’s workflows, your company’s integrations, etc. That’s the ⁠dull reality behind sexy AI. Retrieval, memory, governance, data quality, observability, and feedback loops aren’t as exciting as a new model launch, but they’re what ultimately make AI truly work.

Again, when it’s time to consider something new, the principle should be to default to the least expensive model that reliably passes your evaluations. Only escalate harder tasks to more capable models when measurement shows that the premium pays. Tip: Make this invisible to employees so that the system routes to the best model for a particular prompt. As dbt Labs’ Jon Lewis expresses it, “The best model is ‘Auto’ and I won’t hear anyone say otherwise.” OpenAI’s own ⁠migration guidance recommends testing models on representative tasks, including trying a lower reasoning level rather than automatically cranking everything to the maximum.

As for me, I’ll probably keep clicking the shiniest option. I don’t have a formal evaluation suite for InfoWorld columns, and the marginal cost is a subscription I already pay. Enterprises don’t get that excuse.

A product manager on my team recently asked me where we were seeing the most issues across the engineering team. Instead of guessing, I had an engineering lead point Claude at our Jira via an MCP connector and look at the bug patterns himself.

One team had a wildly disproportionate share of tickets — about 50% of their sprint time was spent on “bugs,” versus roughly 25% for everyone else. The headline number suggested a quality problem.

It wasn’t. When we layered in the context around those tickets, almost none of them were bugs. They were manual workarounds for a missing product capability: customers asking us, one request at a time, to restore items they had accidentally deleted. Not shipping an item restore feature was burning roughly 1.5 engineers’ worth of capacity. I went back to our product team and said, “Build this, and you reclaim a person and a half.”

The analysis took 45 minutes. It was only possible because our data was already organized, tagged by team, connected to contributors, accessible through MCP and protected by role-based access. None of that is “AI.” All of it is the layer underneath AI that almost nobody invests in first. That’s probably because the investment is unglamorous: updating data dictionaries, access controls, team taxonomies, system-to-system mappings. Most of the work has been the same for twenty years. AI just raised the cost of skipping it.

The intelligence underneath the models

I keep coming back to the value of context data layers as a CTO in the middle of an AI rollout. I have started calling that value proposition contextual intelligence because I haven’t found a better name. Anthropic’s engineering team has been calling this kind of work “context engineering” since late 2025, and CIO ran its own feature on the term shortly after. Whether you describe it as contextual intelligence or context engineering, it’s the part of the stack where the actual programming work still lives.

If business logic is your company’s official org chart, then contextual intelligence is knowing who actually gets things done, how decisions are actually made and what the unwritten rules are. One is theory. The other is reality.

Most enterprise systems capture the theory. The systems that capture how work actually happens — what people do, how teams operate, where decisions get stuck — are rarer and harder to build. And modern LLMs, it turns out, are useless without both.

I learned this the hard way at a recent company hackathon. Nine engineering teams, one prompt: make our operational dataset more usable through AI. My team built persona-based chatbots (CFO, CIO, sales manager) on top of an MCP server backed by Postgres and our enrichment data. Other teams built dashboard generators, Looker conversational analytics and workflow agents.

The initial demos all had the same problem. Claude could talk to our data, but the answers were either generic or confidently wrong. The CFO persona would happily report a “spend trend” that quietly conflated two distinct cost categories across two different tables. The CIO persona would answer questions about team productivity, but the averages across roles should never have been aggregated. The sales manager persona returned answers that were technically correct against the schema and completely wrong against the business. The raw data was rich. The context layer around it didn’t exist yet. Chatting with raw data is not an AI product. It’s a demo.

One of my senior engineers spent the second day ripping out the agent’s direct database connection. He stopped trying to prompt-engineer the LLM to understand our business and instead codified that logic into the data pipeline. Working backward from the failed CFO answers, he mapped out the implicit knowledge an experienced controller relies on: Explicitly defining which legacy tables actually represent ‘spend,’ writing the rules for currency normalization and hardcoding our fiscal time windows. He built a series of semantic SQL views to enforce these rules and restricted the MCP server to exposing only this curated layer. When we pointed the same model at those same questions, it returned completely different answers. They were specific, evidence-based and grounded in our actual business reality. The model didn’t get smarter. The engineering beneath it did.

The same pattern shows up everywhere I look right now

McKinsey keeps publishing that software development tops enterprise AI use cases, with companies reporting 30–50% productivity gains in pilots. The pilot numbers are real. They rarely translate to top- or bottom-line impact in production. Our own company data tells the same story: Between Q1 2025 and Q1 2026, our total AI tool usage grew by 328% (over 4x). Over that same period, PR throughput grew by just 49%.

That gap — adoption way up, outcomes inching along — is the context gap. Plug a generic agent into raw, uninterpreted data, and it will act inefficiently at best, harmfully at worst. An agent optimizing sales without your customer segmentation or product hierarchy will confidently recommend the wrong thing. Anthropic framed the shift directly: building with language models is becoming “less about finding the right words and phrases for your prompts, and more about answering the broader question of what context configuration is most likely to generate our model’s desired behavior.” That second question — what context configuration  — is the entire game. Most organizations are still answering the first one.

Where the work actually lives

A growing number of CTOs I talk to are shifting their AI investments accordingly. Less attention on the model. More on the layer between the model and the data.

When peers ask me what that actually looks like day-to-day, I tell them I give every engineering role the same mandate: the LLM should never see raw, uncontextualized data.

In practice, that breaks down to three pieces of work, none of them glamorous.

The first is semantic middleware. We need code that transforms raw data into business-meaningful signals before it ever reaches the model. Our feature stores hold things like “employee code velocity on critical-path features,” not “X logged 50 Git commits.” The work of figuring out what “critical-path” means in our product, in our org, on this team is the work. It does not get cheaper because the model has gotten better.

The second is multi-agent design. Instead of one omniscient orchestrator, we run smaller agents scoped to specific domains, each with rules that catch the failure modes the main model is known for. We pair them with RAG that retrieves precomputed insights, with their rules attached, rather than raw documents. Validation checkpoints sit between steps and flag suggestions that violate known constraints, such as averaging productivity across completely different job functions. The guardrails are not there to be clever. They are there because we already watched the model make those exact mistakes.

The third is evaluation that takes business logic seriously. When I look at a model, general benchmark accuracy is the least interesting number. I want to know whether it respects our constraints and integrates cleanly with our existing architecture. That sometimes means fine-tuning our patterns, sometimes constitutional approaches to embed principles, sometimes hybrid systems where deterministic rules sit alongside the probabilistic ones. The throughline is the same: validate against reality, not against the benchmark.

Why this matters now

The reason this matters more now than it did six months ago is that adoption is moving faster than measurement, let alone integration. Model Evaluation & Threat Research’s (METR) developer productivity work tells the story in a way they didn’t intend. In early 2025, they ran a controlled study and found AI tools slowed experienced open-source developers by 19%. When they tried to repeat the study in late 2025, the experiment broke. Thirty to fifty percent of developers refused to submit tasks under the no-AI condition. They wouldn’t accept working without their tools. METR is now redesigning the study because the original methodology no longer holds up against how developers actually work. That’s how fast adoption moved. But I’d be willing to bet the organizational scaffolding required to convert that adoption into outcomes — context layers, workflow redesign, retraining around new tools — moved nowhere near as fast.

Get ahead with context

The teams I’ve seen succeed with AI built the context layer first. The teams I’ve seen struggle eventually built in context anyway, just at higher cost and with more scar tissue. Raw data is the new currency. But raw data without a context layer is cash sitting in a vault. It cannot act on anything. The difference between insight and noise is a layer of code that understands what your data means.

That layer is the work. It is where the next decade of competitive advantage will sit. And in my experience, the organizations that build it first are the ones that will actually get the productivity gains the rest of the market keeps promising.

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Consumer electronics prices are shooting up. Energy prices are increasing fast. Even water bills are climbing. For a technology that promises “efficiency,” the ongoing AI gold rush seems to be taking things away, much like the proverbial gift that keeps on grabbing.

With hundreds of billions in AI investment already racked up for 2026, it’s important to remember the entire industry is currently built on a mountain of debt — and much of this borrowed money is being spent on data center capacity. That’s true, even though consumers would probably rather have a cheap Mac than spend money on an AI subscription service. 

All this debt is being amassed because a small number of people at a very small number of firms have decided to make huge investments in the tech, which at present requires huge quantities of energy, memory and data center capacity to run. 

But it won’t always be this way.

A mountain of debt, but we’re short of memory

Look, the industry as it is now just doesn’t seem sustainable. Trillions are being spent and memory vendors are shifting capacity to make the high-value, high-bandwidth memory these server farms require — at the expense of traditional consumer electronic suppliers. 

The rapid rollout just creates AI tech will need to be replaced, likely at greater cost, in a few years’ time. In a nutshell, the industry is spending trillions to make billions; Sequoia’s David Cahn estimates the AI revenue gap between infrastructure expenditure and the revenue to justify it has already fallen $600 billion a year short. 

At some point, the VC money will run dry, after which it is inevitable deployment will slow and demand for all the components — including memory used in these large language model (LLM) data centers will fall. Some analysts think capex growth in the sector could halt by mid-2027.

At that point, memory vendors will have expensive production facilities and extensive defaults on their order books. If the 2027 prediction is true, those vendors will feel this impact in the form of reduced forward orders by the end of 2026.

The problem is that the investments have become so vast that any slowdown will have consequential effects across all sections of the economy. 

After the gold rush

Almost certainly, the technology will continue to improve, and the problems we’re looking to solve today might no longer be challenges once fresh innovation strikes. So, what happens next? 

Let’s think about memory, the biggest pain point at the moment and where we will (hopefully) find future innovation. At present, some of the largest LLMs sit inside data centers supported by vast quantities of memory. These machines are built to handle really complex tasks, but most of the time are used to search the web, deliver writing assistance and summarize documents. Those frequently-transacted tasks barely stretch the capabilities of these services and Apple, and others have already figured out how to run such tasks on device.

That’s the first obvious space in which to innovate – to invest in 1-bit data LLM systems to miniaturize and distill models so they actually run on the device you’re using, rather than relying on all those remote servers. 

The Apple shopping list

Apple’s interest in 1-bit data LLM pioneer PrismML speaks volumes about where the iPhone maker sees LLM development going, as did its acquisitions of Kuzu Inc., WhyLabs Inc, Pointable Inc., and Datakalab Inc. in recent years. 

The beauty of PrismML’s tech is what it can do. It was recently used to compress Alibaba’s huge 27-billion-parameter Qwen 3.6 model from 54GB down to under 4GB, running with all 27 billion parameters active simultaneously — all without sacrificing benchmark performance. 

The kicker? It managed to run that advanced, sophisticated AI model on an iPhone 17 Pro. My take? Just as music used to be captured on reel-to-reel tape and is now digitized and in the air, AI will move from the data center to the device, possibly faster than people expect. 

Apple has three pillars for AI: On-device for most of what you need, on Private Cloud Compute servers for most of the rest, or via third-party server-based systems for the most demanding tasks. That’s a blueprint for how the industry will evolve as technologies represented by PrismML tend toward bringing more of that intelligence to the device. Over time, those local tasks will become more sophisticated, eroding the available market for today’s heavily-indebted AI incumbents. 

Emerging priorities such as the need for privacy, data sovereignty, and trusted cloud will also spur the emergence of a multipolar AI future in which no one vendor dominates, further complicating their journey to profitability. It’s a model that favors the kind of service-agnostic, edgeAI approach Apple has taken.

EdgeAI for the rest of us

In the end, I don’t think there will be a need for much of the AI data center capacity now being built, because Apple and others will figure out how to use data minimization to transact sophisticated AI tasks on the device. For the most part, EdgeAI will deliver the consumer AI experience, while data centers cater to more sophisticated use. One day, after this gold rush has run its course, we’ll peer outside of our basements to see which of today’s AI firms actually are the chosen ones.

They may not be the ones you expect.

You can follow me on social media! Join me on BlueSky, LinkedIn, Mastodon, and subscribe to the human-curated daily Apple news briefing at The Core.

You’d think keeping tabs on your contacts would be about the simplest and most straightforward task imaginable in our modern connected world — wouldn’t you?

I sure would. But as I’ve learned over the years, that perfectly understandable instinct couldn’t be more inaccurate.

Effectively wrangling your contacts on Android and keeping ’em manageable, organized, and optimized for efficiency really is a fine art. And in a way, it’s no wonder: Most of us have reached a point where our phones’ contacts are a sprawling goulash of earthlings from all different eras of our lives — clients, colleagues, college buddies, and, of course, your cousin Carl from Poughkeepsie.

Making matters even more complex is the fact that what constitutes “Android” is a wildly different experience from one device to the next. And most Android phone-makers don’t exactly make it easy for you to make the most of your messy contacts stew.

The good news, though, is that it doesn’t have to be so difficult. Today, we’ll start from square one and get your contacts in tip-top shape, no matter what type of Android phone you’re using or how many unruly old bosses’ email addresses you’ve got stored away.

By the time we’re done, your Android phone contacts will be as orderly as can be — and you’ll be equipped with all sorts of practical knowledge for harnessing their typically untapped potential.

Part I: Android contacts streamlining

First and foremost, we need to make sure we’re all on the same page — ’cause as we just mentioned a moment ago, the Android contacts situation is anything but standardized across the platform.

Specifically, if you’re using a Samsung phone, we need to get you off of Samsung’s subpar and proprietary contacts service and into Google’s better, smarter, and more platform-agnostic alternative.

Samsung’s main goal with its products, y’see, is to keep you within its own universe. The company wants you to continue using Samsung stuff and buying Samsung stuff, and it makes that more of a priority than giving you an optimal experience.

The company’s Contacts app is the perfect example: The app offers no noteworthy advantages over Google’s standard Android Contacts service, and it’s available only on Samsung-made Android devices. It’s less fully featured and pleasant to use than Google’s version, too, and it makes it much more difficult to access your contact info from a computer or any other type of device.

So why does Samsung insist on making that the default contacts service on its phones instead of sticking with Google’s readily available offering? Simple: because it locks you into Samsung’s self-serving ecosystem.

Let’s break you free, shall we?

• Open up the Contacts app on your phone (the one probably represented by a glaringly bright red icon).
• Tap the three-dot menu icon in its upper-right corner, then tap “Settings” followed by “Sync contact accounts.”
• Make sure your main Google account is present and has its toggle active on the screen that comes up next. If you don’t see it, tap the “Add account” option to add it into the mix.

JR Raphael / Foundry

Got it? Good. Now, go download the Google Contacts app from the Play Store. Open it up and approve the permissions it needs to operate. Then make a point to start using it instead of Samsung’s silliness (which, by the by, Samsung won’t let you uninstall or even disable) from here on out.

If you’re using an older Samsung device and the steps described above don’t quite match what you’re seeing, poke around in the Contacts app until you find a similar set of options. They should be there somewhere; the specifics of the interface have just evolved somewhat over the years, so older versions of the app may not be exactly the same.

If you have a non-Google-made phone from someone other than Samsung, meanwhile, check to see if your contacts app is the actual Google Contacts app or not. If it isn’t — and if your device-maker gave you some other random alternative in its place — poke around in that app and try to find a similar set of options for syncing everything over to your Google account. If that isn’t possible, find the option to export your contacts from that app and then look for the import option within the Google Contacts Android app to get to the same spot.

Part II: Android contacts accounts and labels

Now that we’re all looking at the same place and dealing with the same best-available Android contacts management option, let’s take a few minutes to get the lay of the land, shall we?

When you first open the Google Contacts app on Android, you’ll see a merged view of all contacts from every Google account you have connected to the phone. But take note: If you tap the “All contacts” line toward the top of the screen, you can switch to seeing contacts associated with only one individual Google account at a time — assuming you have multiple Google accounts connected — instead of seeing them combined together all at once.

That could be useful if, say, you have both a work account and a personal account connected to your device — or maybe you’re a freelancer and you have multiple work-related accounts connected for different purposes.

JR Raphael / Foundry

If you tap the triangular three-line icon to the right of the “All contacts” dropdown, meanwhile, you’ll find a few filtering options that could be helpful as alternatives to the large search bar at the top of the screen — if, for instance, you need to find a contact and only know the name of their company but also can’t quite think of that company’s name and need a prompt. Tap that icon, select “Company,” and you’ll see a list of every company name in your contacts that you can scroll through and select to apply as a filter.

Finally, if you tap the outlined arrow-like shape to the left of the filter icon, you’ll see a list of any labels you’ve created for your contacts. Labels in Google Contacts work exactly like labels in Gmail: You can create as many as you like, and you can apply any number of labels onto any given contact. They’re less like folders, in other words, and more like stickers — or, y’know, labels — in that there’s no limit to how many any particular contact can have.

So why would you want to bother with labels, you might be wondering? Well, I’ll tell ya: They’re a splendid way to break that mess of mammals in your life down into specific, meaningful groups instead of always viewing ’em in one gigantic lump.

Maybe, for instance, you’d have a label called “Work” that includes everyone from your current company. And maybe you’d have a separate label called “Team” that’s even more narrow and shows only the people you directly work with. Maybe you’d have another label for clients, another for specific subsets of clients, and another for all the people in your life named Josh.

Once you do that initial organization, you’ll have an easy way to limit your view to only the individuals you need at any given moment — and you’ll gain a couple of other easily overlooked advantages, too, as we’ll explore further in a moment.

First, to apply a label onto a contact once you’ve created it:

• Tap the contact to open it.
• Tap the pencil-shaped editing icon in its upper-right corner.
• Scroll down and look for the “Labels” option.
• Tap it, then select whichever label or labels you want to add onto that contact and tap “OK” to save.

If you want to apply a label onto multiple contacts at the same time:

• Tap the label icon — that arrow-like shape we were just talking about a moment ago, on your main contacts list — then select the label you want to use.
• Tap the icon that looks like an outline of a person with a plus sign next to it, in the upper-right corner of the screen, and then select whichever contacts you want to add into the label by tapping them all once.
• When you’re finished selecting, tap the “Done” option in the upper-right corner of the screen, and all of the contacts you selected will be added in one fell swoop.

JR Raphael / Foundry

Capisce? Capisce. Now, let’s move on to some even more advanced Android contacts goodness.

Part III: Advanced Android contacts enhancements

When you first tap a person’s name within the Google Contacts app on Android, you’ll see a screen with their profile appear.

JR Raphael / Foundry

A smattering of interesting features worth noting here:

• As of a relatively recent addition, the Google Contacts app allows you create a custom calling card that adds a background image into the top of that person’s profile and controls exactly what you see on your screen anytime they call you. If you aren’t seeing a background image in this area already, as illustrated above, look for the option to add a calling card — which should appear in that same general space.
• You can also create your own custom calling card that controls how you show up by default on other people’s devices — provided they’re also using the Google Contacts app on Android, of course — if you’re ever so inspired.
• And if you’ve had any interactions with a contact, you’ll be able to see a quick overview of that activity in the “Recent activity” area beneath that — along with any notes you’ve created for the person within their contact profile.

JR Raphael / Foundry

To edit a profile, as you’d probably guess, you’ll just tap the pencil-shaped editing icon in the upper-right corner of the screen.

And one more advanced Android contacts option worth mentioning: Directly next to that pencil icon, you’ll see a hollow star in the upper-right corner of every contact’s profile. You can tap that to fill the star in and mark that person as a favorite.

Doing so will have some significant effects:

• That person will always appear at the top of your contacts list.
• They’ll also typically show up in a special, more prominent area of your Phone app for extra-easy access (and if they don’t, try downloading the Google-made Phone app and using it in place of whatever alternative your phone’s maker preinstalled in its place).
• And they’ll be granted special privileges to reach you even when your phone is in Do Not Disturb mode, with the specifics depending on your preferences in that area of your system settings.

Part IV: Android contacts optimization

One of the best features of the Google Contacts service is how easy it makes it to clean up and optimize your contacts collection.

From the Contacts app on your phone, tap the “Organize” tab at the bottom of the screen — then:

• Tap the “Merge & Fix” option.
• Look to see what suggestions the app gives you, then tap ’em one by one and follow the steps within.

JR Raphael / Foundry

Google Contacts will identify any instances where it looks like you’ve got two separate contact entries for the same person and then offer to quickly combine them for you. It’ll also let you know when it’s found more up-to-date contact info for anyone in your list. And it’ll offer to add in entries for anyone you email often but haven’t yet added.

Easy peasy, right?

And last but not least, for the virtual icing on your Android contacts cake…

Part V: Android contacts actions

Once you’ve gotten your contacts created, organized, and cleaned up properly, the Google Contacts app on Android has several advanced actions that are all too easy to miss.

• You can use the Contacts app as an efficient way to start a new group email or text message thread with any selection of people you want. Just make sure the people are all in the same label, then tap the label icon in the app’s upper-right corner and select the label. Next, tap the three-dot menu icon in the upper-right corner of the label screen and look for the “Send email” or “Send message” option.
• The Contacts app can also serve as an all-in-one hub for initiating communication with anyone in your collection. Open someone’s profile, and you’ll see one-tap icons for calling them, texting them, emailing them, or starting a Google Meet video call with them — all without ever having to poke around in any other apps.
• If you want even easier access to certain high-profile people, check out the Google Contacts widget options: Long-press on any open area of your home screen, select the option to add a widget, and then look for the Contacts section. There, you should see options for adding square-shaped widgets that show a person’s photo along with one-tap links for calling or texting them as well as simpler icon-like shortcuts for calling or texting a specific contact. In the latter case, you can add as many of those as you want onto your home screen and even drag ’em on top of each other once they’re there to create convenient folders.

JR Raphael / Foundry

• Speaking of calling convenience, if there’s a certain contact who calls you a little too often — an overly eager recruiter or maybe that blasted cousin of yours (come on, Carl!) — the Google Contacts app has an easy way to automatically route all of their calls directly to your voicemail. Just open the person’s profile within the app, then scroll down and look for the “Send to voicemail” option — or look a little lower for “Block numbers,” if you really never want to hear from them again.
• In that same area of a contact profile is a speedy shortcut for setting a custom ringtone for any contact so it’s especially easy to identify them (or hide in the nearest underground bunker) whenever they call.
• And don’t overlook the recently added “Reminders” section, where you can store dates like birthdays and anniversaries and create reminders around ’em, in addition to having ’em appear within the app itself.

Last but not least, the real beauty of the Google Contacts setup on Android: It works equally well no matter what type of device you’re using.

On any phone you move into in the future, you can simply install the Google Contacts app, if it isn’t already in place, and all your stuff will instantly be there, synced, and available to you — no restoring required. And if you ever want to poke around or update your contacts from a computer, all you’ve gotta do is pull up the Google Contacts website in any browser where you’re signed in.

So the Android contacts situation isn’t exactly straightforward, as you’ve seen. But once you get it under control, it absolutely can be easy and effective — and, with a teensy bit of advance planning, an important piece of your mobile productivity puzzle.

This article was originally published in November 2022 and updated in July 2026.

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