Diffusers 0.40.0 released with Modular Diffusers, new models

A former ByteDance intern raised $200 million for a stealth startup building world models, with backing from venture firms including 5Y Capital. The company is positioning itself against AI pioneers such as Fei-Fei Li in the nascent world-models field.

A Reddit builder's tool takes a text description and outputs a complete quadruped: Feetech STS3250 servos, electronics plan, 3D body and shell, and firmware. Designs are then simulated in MuJoCo.

Australia's government is exploring mandatory incident-reporting rules for frontier AI companies following an agentic attack on its own Medicare systems. The proposal is still at the consultation stage.

Elon Musk said Grok Bot will automatically pick the best backend model per task — Claude Opus 5.5 for complex work, Midjourney for images, Suno for music generation. Grok Bot also offers multiple sessions and cloud agents with Cursor model and API access.

Eli Cohen of Snyk, co-founder of runtime security company Helios, says the fastest AI-driven attack he cites took four minutes, outpacing annual or semi-annual pen tests. He argues security must go on the offense as developers ship more code in an agent-first world.