The vulnerability was discovered by the Cato CTRL research group of cybersecurity company Cato Networks and originates in common AI tools, including Google's Gemini, Microsoft's Copilot, and Perplexity's Comet.

The research demonstrated primary attack scenarios in which attackers direct AI assistants to display fake phone numbers and links to users when they request customer service contact information for various organizations. The scenarios included extracting sensitive user data and sending it to malicious sources without the user's knowledge, stealing login credentials, displaying false information, and creating fake narratives that could influence the user and lead to wrong decisions.

The technique used by attackers is called HashJack. All they need to do is add a prompt – malicious instructions – to a legitimate website address and distribute it. Once a user loads the website address with the malicious addition in the browser, the instructions "communicate" with smart AI assistants, such as Google's Gemini or Microsoft's Copilot, and trigger attack scenarios.

According to Cato Networks, traditional defense systems do not detect the attack because they operate through prompts (instructions) embedded in the website address after the hashtag symbol # in a process that does not leave the browser's work.

The attack exploits users' trust in legitimate websites by using link addresses that appear legitimate. The user has no reason to suspect at any stage of the process, unlike phishing sites that look suspicious. This way, any legitimate site could become an attack tool – with attackers not even needing to breach the site itself. They exploit how AI browsers interpret instructions after the hashtag symbol. This effectively creates a new subcategory of cyber threats in the AI world.

According to the company's statement, the companies whose tools the vulnerabilities were identified in were informed well in advance of the problems so they could address them before users were exposed to threats (a practice known in the cyber field as "white hat hacker" hacking). According to Cato's data, a fix was applied in the Copilot for the Edge browser on October 27, 2025. In the Comet browser, a fix was reported to have been applied on November 18, 2025. In the Gemini for Chrome browser, as of November 25, 2025, the problem has not yet been resolved.

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This significant upswing demonstrates a marked shift in attitudes toward Alphabet after the 2022 introduction of ChatGPT led certain investors to worry the firm had lost its AI advantage, despite having invented much of the foundational technology for generative AI. Alphabet recovered its momentum this year by making its cloud division a key contributor to growth, which attracted an investment from Warren Buffett's Berkshire Hathaway, and its new Gemini 3 model is garnering excellent initial reviews.

The milestone, however, could intensify anxieties among some executives who caution that rising valuations have detached market trends from business reality, prompting concerns over an economic bubble reminiscent of the 1990s dot-com era. These bubble fears are also amplified by circular transactions involving OpenAI and Nvidia, two prominent firms in the AI sector. Analysts, nevertheless, maintain that Google is strongly positioned in the AI competition because of its ample cash reserves, its own in-house chip production offering an alternative to Nvidia's expensive processors, and its massive internet search operation, which is already experiencing benefits from AI incorporation.

In October, the moment of truth arrived for the AI tech titans as investors worldwide held their breath after Wall Street's close when Microsoft, Alphabet (Google), and Meta (Facebook) – collectively worth nearly 10 trillion dollars – began releasing their quarterly earnings reports in another attempt to beat forecasts.

Google (through its parent company Alphabet) beat forecasts by 26% ($2.87 per share compared to the $2.27 expected) with revenues of 100 billion dollars. Microsoft also beat forecasts by 14% ($3.72 per share compared to the $3.6 expected). Meta on the other hand had to pay 15 billions in a one-time payment, which resulted in a miss of 84% in the earnings.

Alphabet reported more than $100 Billion of revenue in a quarter for the first time ever. Google parent company Alphabet also reported strong third-quarter results, with revenue climbing 16% year-over-year. Google Search & Other grew 15%, while YouTube Ads increased 15% during the period. Google Cloud posted the strongest growth at 34%, though Google Network saw a 3% decline. The company's EBIT rose 9.5% with a margin of 31%, and earnings per share jumped 35%.

The head of Google's parent firm Alphabet, Sundar Pichai, has recently cautioned the BBC that every company would be impacted if the AI bubble were to burst. Speaking exclusively to BBC News, Pichai acknowledged that while AI investment growth is an "extraordinary moment," there is some "irrationality" in the current boom. Amid fears in Silicon Valley of soaring valuations, Pichai warned, "I think no company is going to be immune, including us."

His wide-ranging interview at Google's California headquarters, reported by the BBC, touched on energy needs, climate targets, UK investment, and AI's effect on jobs, coming as market scrutiny intensifies. Alphabet's shares have doubled in seven months to $3.5 trillion as market confidence in its ability to counter OpenAI grows. A specific focus remains on Alphabet's competition with Nvidia, run by Jensen Huang, which recently hit a $5 trillion valuation, even as analysts question the $1.4 trillion in deals surrounding OpenAI.

Pichai's remarks about "irrationality" echoed Alan Greenspan's 1996 "irrational exuberance" warning during the dotcom boom. Pichai told the BBC the industry can "overshoot" in such cycles. "We can look back at the internet right now. There was clearly a lot of excess investment, but none of us would question whether the internet was profound," he said. "I expect AI to be the same. So I think it's both rational and there are elements of irrationality through a moment like this." His comments follow a similar warning from JP Morgan's Jamie Dimon, who told the BBC some AI investments would "probably be lost." Pichai argued Google's "full stack" model provides a better position to handle turbulence.

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Deployment of the GPUs is expected in phases through 2026. This rollout will occur at IREN's 750MW Childress, Texas campus, alongside new liquid-cooled data centers supporting 200MW of IT load. IREN anticipates funding these capital expenditures through existing cash, customer prepayments, operating cashflows, and other financing initiatives.

"This agreement not only validates IREN's position as a trusted provider of AI Cloud services, but also opens access to a new customer segment among global hyperscalers," Roberts continued, according to GLOBE NEWSWIRE. "It marks another major step forward for IREN as we continue to expand large-scale GPU deployments across our 3GW secured power portfolio in North America, reinforcing our position as a leading AI Cloud Service Provider."

Jonathan Tinter, Microsoft's President of Business Development and Ventures, also provided commentary, GLOBE NEWSWIRE reported. "Together with IREN, Microsoft is delivering cutting-edge AI infrastructure for our customers.

"IREN's expertise in building and operating a fully integrated AI cloud – from data centers to GPU stack – combined with their secured power capacity makes them a strategic partner," Tinter stated, according to GLOBE NEWSWIRE. "This collaboration unlocks new growth opportunities for both companies and the customers we serve," he concluded, as per GLOBE NEWSWIRE.

Meanwhile, Microsoft Corp. said on Monday that it has committed to a substantial $7.9 billion investment in the United Arab Emirates over the next four years, a move set to significantly advance the nation's status as a global technology hub, according to reporting by Bloomberg.

Microsoft stated it intends to expend in excess of $7.9 billion on data centers, cloud-computing, and personnel within the United Arab Emirates during the upcoming four years, Bloomberg reported. This initiative supports the Gulf state's objective of transforming into an international technology center.

The commitment was announced by Microsoft president Brad Smith on Monday in Abu Dhabi, according to Bloomberg. This pledge encompasses intentions to nearly treble the quantity of Nvidia Corp. advanced chips that Microsoft utilizes in the country, importing essential equipment that has faced restrictions from the US government.

"This is not money we're raising here. It's money we're investing and spending here," Smith conveyed to Bloomberg Television during the Adipec oil conference in Abu Dhabi. "We are seeing demand here explode," the Bloomberg Television interview noted.

Access to leading semiconductors in the Gulf state remains a complex issue. Bloomberg reported in October the US approved chip exports to American firms in the UAE following a deal that sparked security concerns, though not yet to Emirati firms like G42. Some US officials have criticized placing critical equipment in the Middle East, fearing the tech could move to China. Microsoft, however, said it received US licenses in September to ship AI chips to the UAE. "They're not just acts of faith," Smith stated, per Bloomberg. "We had to satisfy very strict conditions about the cybersecurity, the physical security, the other security protection of these chips to ensure that they stay under our control."

The company previously deployed 21,500 Nvidia A100-equivalent chips in the UAE and plans to ship 60,400 more, including the GB300, arriving "in months, not years," according to Smith, as cited by Bloomberg. In a separate move reported by Reuters, Microsoft struck a $9.7 billion deal with data-center operator IREN for Nvidia's advanced chips. That agreement, aimed at easing the AI boom's computing crunch, sent IREN shares up over 20%. Dell will provide IREN with $5.8 billion in equipment, including GB300 chips, for Microsoft's use.

The five-year IREN deal highlights the AI industry's need for computing power, Reuters noted, as capacity shortages limit major tech firms. The partnership allows Microsoft to expand capacity without building new data centers or securing power, and it avoids heavy spending on chips that will quickly lose value. IREN, valued at $16.52 billion, operates renewable-energy-powered data centers in North America. IREN said the new processors will be deployed at its Texas campus by 2026, alongside new liquid-cooled data centers. A filing indicated Microsoft's prepayment helps finance IREN's $5.8 billion Dell deal.

Microsoft CFO Amy Hood stated last week that the company's AI capacity crunch is now expected to extend until at least mid-2026, revising an earlier prediction, according to Reuters. Reporting was provided by Deborah Sophia and Aditya Soni in Bengaluru, and the piece was edited by Arun Koyyur for Reuters.

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The IDF and the Defense Ministry have long worked with Microsoft, not only in cloud computing but also in IT systems, enterprise software, cybersecurity, and development tools. Microsoft operates major research and development centers in Israel, some of which are tied to cloud and AI solutions, making the partnership strategically significant both for Israel's tech sector and for the IDF, particularly Unit 8200.

In late 2021, then-Unit 8200 commander Maj. Gen. Yossi Sariel met with Microsoft CEO Satya Nadella at the company's headquarters in Seattle. The meeting aimed to advance cooperation on transferring vast amounts of sensitive intelligence, including recorded calls, to Microsoft's servers in Europe, mainly in the Netherlands and Ireland. Azure's immense storage capacity enabled the unit to handle data at a scale not possible with existing military servers.

What does the decision mean in practice?

Unit 8200 has lost access to Microsoft's large-scale data processing capabilities, including AI-powered analysis tools.

Even so, Microsoft remains a key supplier to the IDF. The restrictions apply primarily to cloud and AI services that were used for broad surveillance.

Since the start of the current war, the IDF has increased its reliance on cloud and AI technologies to process enormous amounts of data: phone intercepts, video from drones, satellite imagery, and footage from surveillance cameras. Azure's advantage was not only storage but also real-time processing and advanced models for pattern recognition, target identification, and large-scale communications analysis.

Shifting to another cloud provider, reportedly Amazon Web Services, will require time and technical effort, but analysts say it is unlikely to paralyze Unit 8200's intelligence-gathering capabilities. In the short term, however, there could be a drop in the efficiency of intelligence analysis, which is used to prepare strikes in Gaza.

This marks the first time an American technology corporation has cut off services to the IDF since the Gaza fighting began. Microsoft's decision followed pressure from employees, investors, and human rights groups, signaling a growing sensitivity among US tech firms over the military use of their platforms.

The fact that sensitive intelligence data was stored on Microsoft's servers in Europe, especially in the Netherlands, further complicated matters and raised legal questions, both with the European Union under its GDPR privacy regulations and with other partners.

The larger question is whether other companies, such as Amazon or Google, will follow suit. If so, Israel's defense establishment may face serious challenges relying on Western technology corporations, which are subject to political pressure, public opinion, and US law.

The "Spartan model"

Israel is expected to find technological alternatives to Microsoft's services. But the company's move highlights the extent of the IDF's reliance on foreign tech giants and international cloud infrastructure for intelligence and combat operations. It also bolsters Prime Minister Benjamin Netanyahu's recent argument, made in a widely cited speech earlier this month, that Israel must develop self-sufficiency in security-related industries.

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The confrontational demonstrations followed Microsoft's announcement of an "urgent" investigation into allegations that Israeli Defense Forces utilized the company's Azure cloud computing platform for mass surveillance of Palestinian civilians. The British newspaper The Guardian reported these claims, prompting Microsoft to engage law firm Covington & Burling for the review.

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Conducted as part of the Microsoft AI Tour in Israel, the survey examined 40 major organizations across sectors including healthcare, finance, retail, industry, and technology. The findings show that AI has quickly shifted from a futuristic concept to a core strategic tool for driving efficiency, enhancing productivity, and improving customer experience. However, they also highlight the persistent challenges that hinder broader AI adoption across the business landscape.

What is holding back implementation?

The survey targeted senior C-level executives, such as CIOs, CTOs, and Heads of Digital Transformation and Innovation, and explored current usage levels, implementation trends, and key barriers to AI integration across organizations.

The survey demonstrates the key challenges hindering organizations from realizing AI's potential. Leading the list are two key issues: High deployment costs (50%), and a lack of executive-level understanding of AI technologies (50%).

Furthermore, 25% of respondents pointed to the shortage of skilled professionals and concerns around cybersecurity as major deterrents. Despite these hurdles, 75% of respondents plan to expand their use of AI in the coming years, with a focus on embedding it into core business operations.

When asked about the primary use cases for AI, the top responses were data analysis and software development (75% each). Customer service, marketing and advertising, and cybersecurity followed closely (50% each). Conversely, areas such as project management, finance, and legal applications remain underutilized, with only 25% of organizations reporting AI applications in those domains.

"A gap between vision and reality"

"The data exposes the wide gap between aspiration and execution in the Israeli AI landscape," said Adi Crystal, VP of Microsoft Israel's Enterprise Commercial Division. "Microsoft Israel does recognize that organizations that are actively engaging with AI innovation are already realizing tangible business gains."

"This is a rare window of opportunity for leadership teams aiming to accelerate growth," Crystal added. "AI is no longer about 'if,' but about 'when' and 'how fast.' Responsible and strategic integration of these technologies is now a necessity."

"AI is no longer a futuristic concept; it is the force reshaping tomorrow's business landscape," said Ido Ron, Partner and Head of AI at KPMG Israel. "Our journey with organizations across the business spectrum - from designing enterprise AI strategies to launching category-defining products - highlights enormous untapped potential."

"Each organization has different goals: Some seek commercial differentiation, others aim to transform operational efficiency, achieve leverage by driving productivity, or deliver next-generation customer experiences and a sustainable competitive edge," Ron continued. "Organizations that embrace AI not as a technological add-on but as a strategic engine of innovation, efficiency, and data-driven decision-making, while accepting the risk of failure - will lead the new economy."

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Microsoft issued a warning about Iranian government-linked hacking groups attempting to breach accounts of U.S. presidential campaign officials, county government employees, and websites through cyber attacks and influence operations.

These groups have created fake news sites, impersonated activists, circulated disinformation, and conducted influence operations targeting both left-leaning and conservative U.S. voters, sowing discord ahead of the 2024 election, similar to Russian interference in 2016.

The Trump campaign has accused Iran of hacking internal communications.

Microsoft has specifically named the Iranian hacking groups APT35 (Charming Kitten/Mint Sandstorm) as being behind these activities.

Sources: BBC, Newsweek, Independent, Washington Post, AP News, Axios, Politico, USA Today, NPR, Barron's, Yahoo News, TJV News, Indian Express, Breitbart, Times of India, Jerusalem Post, Devdiscourse, Nextgov.

This article was written in collaboration with Generative AI news company Alchemiq.

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Microsoft and CrowdStrike denied responsibility for Delta Air Line's July comprehensive system outage, claiming Delta refused their offers of assistance. Microsoft stated Delta's affected systems did not use its products, suggesting a lack of IT modernization compared to competitors.

Delta Air Lines experienced a massive operational meltdown in July associated with a faulty software update by CrowdStrike, distributed to Microsoft clients, that caused global IT outages in July.

While other major U.S. airlines resumed operations a day after the incident, Delta continued to experience prolonged disruptions, affecting hundreds of thousands of customers and prompting a U.S. Department of Transportation investigation.

Over 5,000 Delta flights were canceled and more delayed, costing Delta around $500 million.

Microsoft criticized Delta for overstating its role in the tech outage, accusing the airline of deflecting blame and spreading false information to avoid accountability. Microsoft said it offered to help Delta for free after the outage, but its assistance was declined multiple times.

Delta CEO Ed Bastian accused Microsoft and CrowdStrike of failing to comply with contractual requirements and negligent behavior in connection with the faulty update, stating Delta has no choice but to seek damages.

According to Microsoft, Delta's delayed recovery was due to an internal system failure impacting flight and crew scheduling.

Delta's CEO claimed the incident cost the airline around $500 million in losses and extra costs, while CrowdStrike claims less than $10 million in liability.

The company has hired litigator David Boies to pursue legal action against CrowdStrike.

Delta claims to have invested billions in IT since 2016 and spends billions yearly on IT, emphasizing commitment to safety and reliability.

Microsoft and CrowdStrike state they offered assistance to Delta during the outage, but Delta declined, with Microsoft executives allegedly reaching out from July 19 to 24. Delta, however, dismisses these claims as only "free consulting advice."

Microsoft and CrowdStrike want Delta to preserve documents related to the outage.

Sources: One Mile at a Time, CNBC, Skift, ABC News, NY Post, SCMP, The Verge, Benzinga, iTechpost, Headtopics, Daily Mail, New York Times

This article was written in collaboration with Generative AI news company Alchemiq.

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Google is reportedly considering its largest startup acquisition to date, with plans to purchase Israeli cloud cybersecurity firm Wiz for an estimated $23 billion, according to reporting from The Wall Street Journal. The potential deal, if successful, would mark a significant expansion of Google's presence in the enterprise security sector.

The Verge reports that the New York City-based Wiz specializes in providing "siloed security tools and scanners" for enterprise clients. The company's technology creates a "normalizing layer between cloud environments," allowing businesses to quickly identify and address critical security risks within their cloud infrastructure. This potential deal comes at a time when competitor Microsoft has faced several high-profile security breaches, potentially giving Google an opportunity to position itself as a more secure alternative in the cloud services market.

The acquisition, which would dwarf Google's previous record $12.5 billion purchase of Motorola Mobility in 2012, appears to be driven by Google Cloud CEO Thomas Kurian. The Wiz acquisition would follow Google's recent investments in cybersecurity, including the $500 million purchase of another cloud security startup in 2022 and the $5.4 billion acquisition of Mandiant, the firm that uncovered the SolarWinds hack. The New York Times cites Kurian as the primary force behind the acquisition attempt, suggesting that the move is part of a broader strategy to bolster Google's reputation as a secure cloud platform provider.

BDS people are going to cry so hard.

Google is nearing a deal to purchase Israeli cybersecurity startup Wiz for $23 billion. pic.twitter.com/hk4FJtLKcV

— Aviva Klompas (@AvivaKlompas) July 14, 2024

 While sources suggest the deal "looks likely," according to The Times, it's not without potential hurdles. The massive price tag and Google's market position could trigger reviews from US regulators, particularly given the Biden administration's increased focus on antitrust actions in the tech sector. The Department of Justice has already filed a lawsuit over Google's search deal with Apple, and the Federal Trade Commission recently attempted to block Microsoft's acquisition of Activision, highlighting the current regulatory climate for major tech acquisitions.

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Steve Ballmer, Bill Gates' former assistant and Microsoft's ex-CEO, has surpassed Gates' net worth to become the 6th richest person globally with a fortune of around $157.2 billion.

Ballmer owns a 4% equity stake in Microsoft. A partnership with OpenAI drove Microsoft's stock up by 21% this year.

Bill Gates, Microsoft's co-founder, has a net worth of around $156.7 billion, with a significant portion diversified through Cascade Investment, including investments in companies like Republic Services Inc.

Gates has gradually reduced his wealth through philanthropy, having donated nearly $60 billion to the Gates Foundation, which he co-founded with his ex-wife Melinda and Warren Buffett. He also co-founded the "Giving Pledge" to encourage other ultra-wealthy individuals to donate.

He became CEO after Gates and left in 2014.

Gates co-founded Microsoft with Paul Allen and hired Ballmer as the company's first business manager in 1980.

In 2014, Ballmer purchased the NBA's Los Angeles Clippers for $2 billion from Shelly Sterling, following her husband's racial slur controversy.

The richest individuals ahead of Ballmer and Gates include Elon Musk, Jeff Bezos, Bernard Arnault, Mark Zuckerberg, and Larry Page.

Sources: Business Insider, Bloomberg, Fox Business, New York Post, O Globo, Telegraaf, Benzinga, Times of India, Economic Times, cnbeta, Sportskeeda, EssentiallySports, BFMTV, Nau, Die Presse, Manager Magazin, HWUpgrade, The Cinemaholic, Sözcü, Liputan6.

This article was written in collaboration with Generative AI news company Alchemiq.

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