🏫 Schools Are Banning AI - Adults Are Free to Brain Rot.And... Turns out robots didn’t take all the jobs yet.
Greetings Everyone, Thanks a lot for your support; today we’re at #70 on Substack’s Rising in Technology list. We’re glad to keep sharing our take on this wild world of AI and technology: how it’s shaping our daily lives, and how to actually put these tools to work for us instead of letting them abuse us. I’m also glad to share that school districts are finally taking real steps to protect students from being used and abused by technology. LAUSD and the NYC school districts have banned AI use for their K-12 students. As a father of two little ones, I see this as a major step toward making sure kids are actually being educated, learning how to learn, instead of outsourcing their little brains to AI, while tech giants quietly harvest granular data to improve their systems at the cost of our thinking. As for us adults, we’re left to brain rot on our own devices, but there are tools to help curb social media and phone addiction. I’ve listed five of them below in our AI Tools section. Today we’re also covering how OpenAI’s agents broke out of their sandboxes and hacked Hugging Face, and this isn’t an isolated incident. It’s happened multiple times already; it’s just that what happens in the data center tends to stay in the data center. And it’ll keep happening, as these models grow more powerful and more capable of breaking out, recruiting each other, and acting around the clock to chase a goal. The “agents going rogue” saga is just getting started, and it’s only going to get better (or worse, depending on your view). On top of that, electricians and HVAC experts are in serious demand to build out the data-center boom, which has pushed hiring and open positions way up, but in the long run, those same data centers will power the very technology that takes more jobs away. So here’s the message from the numbers so far: NO, bots aren’t really taking our jobs yet; AI is actually creating more of them. But for how long? The AI takeover is just getting started. Let’s dive in. In today’s issue:
📰 AI News and Trends
AI Agents Went Rogue Again. OpenAI Forgot to Mention It.In July of this year, ~700 OpenAI agents broke out of their sandbox, hacked Hugging Face, and, this is real, invented a trick to make it look like they were running one command while secretly running another. Basically an AI doing the “I’m walking the dog” alibi. Let’s remember that AI is trained with human knowledge, behavior, and patterns.
How many more are we not hearing about? Even the researchers grading this stuff admit they can’t rule out worse incidents nobody’s caught, or caught and just didn’t mention. Both known cases were found by outsiders, months later, not by the companies raising their hands. Is this going to happen more? Cool detail: OpenAI dropped a new model this same week, more capable, better at finding security holes on its own, and running on reasoning that’s literally harder for humans to inspect. Meanwhile, regulators just agreed to a “light touch” approach. So: faster horses, fewer seatbelts. Do the math. 📚 Learning CornerSchools Are Banning AI - Adults Are Free to Brain Rot.LA and NYC just told generative AI to sit in the hallway. LA did it quietly; the board found out during a meeting, live, on camera, like finding out your roommate adopted a dog. NYC did it with a mic and a mayor: no AI through 8th grade, chatbots banned at every grade, high schoolers get “AI literacy” instead of ChatGPT. Why ban it? Because letting a chatbot do your homework is basically outsourcing the gym to a forklift; technically the weight moves, but your arms stay the same size. Kids’ brains are still under construction; outsourcing the construction work kind of defeats the point. (Counter-take, because fairness: banning things also just pushes kids to their phones off-campus, so it’s not some magic fix. Parents have to solve this.) So, adult self-defense kit:
World governments, ranked by how seriously they’re taking this:
The whole planet is childproofing AI. Nobody’s adult-proofing it. That part’s on you. But it's great to see that we, globally, are taking actions to make sure the kids are using their brains. 🧰 AI Tools of The DayScreen Management Tools Human attention is in crisis. Soon, managing your attention will be as normal as managing your diet One Sec — Adds a short pause (breathing exercise, journaling prompt) before you open distracting apps, instead of blocking them outright. Opal — A hard blocker: schedule “Focus Sessions” where chosen apps become completely inaccessible, plus a stricter “Deep Focus” mode. ScreenZen — Free, donation-supported friction app, adds a wait time before opening distracting apps and lets you set a daily “unlock” limit per app. Freedom — Blocks apps and websites across every device at once in a single synced session. Forest — Gamified approach: plant a virtual tree that grows while you stay off your phone; leave the app early, and it dies. Turns out robots didn’t take all the jobs yet.Big scary AI-unemployment apocalypse? Not showing up in the data. US economy added 162,000 jobs in August, unemployment sits at a stupidly low 4.1%, and even the group everyone swore AI would eat alive first, 20-somethings, is doing fine. Well, depends on what you call fine, because many of them are underemployed or having to work 2 jobs and/or move in with family to afford life. AI is killing some jobs. Customer service is down ~10%, secretaries/admin down ~15%, and companies like Block and Intuit are openly swapping humans for bots. About 16,000 AI-related layoffs a month on average this year. But it’s creating more than it’s killing, so far. The Economist puts it at ~1 million new AI-linked jobs in the US, versus ~200,000 AI layoffs since 2023. The math currently favors “net job creator,” not “apocalypse.” Where the jobs are actually showing up:
Big Tech is still cutting headcount to “reorganize around AI,” and back-office/admin work is projected to keep shrinking (752,000 office/admin jobs gone by 2035, per BLS). The reality is that some industries are hiring, and others are replacing workers with bots. 🚀 Showcase Your Innovation in the Premier Tech and AI Newsletter (link) As a vanguard in the realm of technology and artificial intelligence, we pride ourselves in delivering cutting-edge insights, AI tools, and in-depth coverage of emerging technologies to over 55,000+ tech CEOs, managers, programmers, entrepreneurs, and enthusiasts. Our readers represent the brightest minds from industry giants such as Tesla, OpenAI, Samsung, IBM, NVIDIA, and countless others. Explore sponsorship possibilities and elevate your brand's presence in the world of tech and AI. Learn more about partnering with us. You’re a free subscriber to Yaro’s Newsletter. For the full experience, become a paying subscriber. Disclaimer: We do not give financial advice. Everything we share is the result of our research and our opinions. Please do your own research and make conscious decisions.
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🏫 Schools Are Banning AI - Adults Are Free to Brain Rot.
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Thursday, August 27, 2026
$18 Billion Meta Settlement, but Who Actually Gets the Money?
$18 Billion Meta Settlement, but Who Actually Gets the Money?Plus: Grok Bot will Change the Game and the way we interact with Agents
Meta just settled an $18 billion lawsuit over teen social-media addiction. My first question after reading the news was, Who actually gets the money? After digging a little, I found that the money is expected to flow primarily to state governments and programs focused on youth mental health, online safety and prevention, with each state deciding how its share is allocated. That could also create a new market for companies building parental controls, age-verification systems, content moderation and technologies designed to monitor how social-media algorithms affect young users. I created a website to visualize all this. But now that Meta has settled, I suspect the lawyers aren’t going anywhere. YouTube, TikTok, Snapchat and other platforms could be next. And notice that I keep saying “made us” addicted rather than “made teenagers” addicted. Because adults are increasingly victims of the same algorithms. Go almost anywhere in the world and look around. People standing in line are scrolling. People sitting at restaurants are scrolling. People lying in bed are scrolling. We have turned every empty moment into an opportunity to consume another feed. These platforms are extraordinarily good at capturing our attention, and there is growing concern about what constant stimulation and fragmented attention are doing to our brains and also how thinking is being controlled and being homogenized by tech companies Could we eventually see a major legal case arguing that social-media companies have also harmed adults through intentionally addictive algorithmic design? And then there is AI. At the same time that social media is encouraging us to consume more information, AI is making it easier to delegate more of our thinking. Tools like Grok Bot, the AI agents we discuss in this newsletter, chatbots, AI coding assistants and vibe-coding platforms are increasingly capable of doing the research, writing, coding, analysis and problem-solving that humans traditionally performed themselves. As we outsource our thinking and fill in the time with doomscrolling, What happens to human cognitive ability when we increasingly outsource the effort required to think? There is another layer to this story that I find even more interesting. Both trends require enormous amounts of energy. We are simultaneously spending more of our time consuming algorithmically generated content and asking increasingly powerful AI systems to perform more of our cognitive work. Behind all of that are billions of smartphones, GPUs, servers and data centers consuming massive amounts of electricity. Where does all the energy come from to power the AI systems, data centers and devices that will increasingly do the work for us and demand more and more energy? I think these three stories, social-media addiction, AI-driven cognitive outsourcing, and the rapidly growing energy demand behind AI, are actually part of the same story. And I think we’re only beginning to understand where it leads. I’d love to hear what you think. In today’s issue:
Yaro on AI and Tech Trends | Your Top AI Newsletter is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber. 📰 AI News and Trends
Grok Bot will Change the Game and the way we interact with AgentsGrok Bot, now in early beta, is positioning AI agents as digital teammates rather than simple chatbots. Each Bot gets its own cloud computer, can log into existing tools and websites, work across apps and inboxes, and complete multi-step jobs end-to-end, even when no API or MCP integration exists. Teams at SpaceXAI are already using Bots for sales outreach, marketing, recruiting, invoicing, bug fixing, and operations, with multiple specialized Bots working in parallel and coordinating with each other. I have personally been tinkering with it and have to say that it is easy to use and that it will change the game. I can foresee all the other AI models releasing similar interfaces that look like your favorite text application to create and chat with agents that execute your work while you concentrate on bigger responsibilities. The system can also watch a human perform a workflow once, remember the process, and repeat it autonomously, becoming more useful over time. The key shift is from AI that helps you do work to AI that owns the work. Grok Bot is currently available in beta to select SuperGrok and Cursor subscribers, with enterprise access planned for the future. 📚 Learning CornerThe Double Edge sword of AI InfraHugging Face has suddenly become a focal point for both AI security and the AI infrastructure war. An independent investigation found that roughly 1,200 AI agents, about 700 of them, participated in a cyberattack targeting Hugging Face after agents created their own communication channel and collaborated to circumvent cybersecurity challenges, raising new concerns about AI systems coordinating and behaving beyond their intended constraints. OpenAI called the incident a “warning shot” for potential loss-of-control events and said it is strengthening internal monitoring. At almost the same time, Nvidia agreed to acquire Hugging Face for $12.9 billion, reportedly around 80× forward revenue, in a move designed to give Nvidia greater control over the open-source AI ecosystem and create a counterweight to closed-model players such as OpenAI and Anthropic. The irony is striking: the company sitting at the center of one of AI’s most important open-source ecosystems is simultaneously becoming a security test case—and a $12.9 billion strategic asset. For Nvidia, Hugging Face is not simply a repository of models; it could become a critical layer connecting models, developers, data and Nvidia’s hardware as the AI industry shifts from individual models toward autonomous agents and full-stack AI platforms. 🧰 AI Tools of The DayUser Friendly AI Agent Platforms1. Manus - One of the most interesting direct competitors. Its agents can handle complex tasks such as building websites, creating presentations, generating videos, researching topics and executing multi-step workflows. It also has persistent agents and an API for programmatically managing tasks. 2. Claude Cowork / Computer Use - Anthropic is pushing Claude beyond chat into agents that can write code, manage files and operate across applications. Claude’s computer-use capability allows an agent to see a computer screen and interact with it using mouse and keyboard actions. 3. Google Gemini Agent / Project Mariner - Google’s approach is particularly interesting because it combines agents with the Google ecosystem and Chrome. Project Mariner demonstrated computer-use capabilities, including Google’s “teach and repeat” concept, showing an agent a task and having it learn the workflow for future execution. 4. OpenClaw - This is the wildcard. Rather than paying for a fully managed agent like Grok Bot, you can run your own agent infrastructure and connect it to different models. It’s particularly interesting if you want control over your data and workflows. Recent implementations allow agents to operate continuously and interact with computers and services. $18 Billion Meta Settlement, but Who Actually Gets the Money?Meta’s landmark settlement over alleged teen social-media addiction could cost the company up to $18 billion, but the money isn’t going directly to the millions of young people allegedly harmed by Instagram and Facebook. Instead, the bulk will flow to state governments and programs focused on youth safety, mental health and online research. California could receive approximately $2.2 billion, New York about $1.1 billion, while Colorado is slated for nearly $615 million over nine years. The settlement also leaves individual and school-district lawsuits alive, meaning the $18 billion is only one piece of a much larger legal reckoning for Big Tech. The money Flow:
🚀 Showcase Your Innovation in the Premier Tech and AI Newsletter (link) As a vanguard in the realm of technology and artificial intelligence, we pride ourselves in delivering cutting-edge insights, AI tools, and in-depth coverage of emerging technologies to over 55,000+ tech CEOs, managers, programmers, entrepreneurs, and enthusiasts. Our readers represent the brightest minds from industry giants such as Tesla, OpenAI, Samsung, IBM, NVIDIA, and countless others. Explore sponsorship possibilities and elevate your brand's presence in the world of tech and AI. Learn more about partnering with us. You’re a free subscriber to Yaro’s Newsletter. For the full experience, become a paying subscriber. Disclaimer: We do not give financial advice. Everything we share is the result of our research and our opinions. Please do your own research and make conscious decisions.
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