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Microsoft cracked down on the use of the companys free AI software after the tool was linked to creating the sexually explicit deepfake images of Taylor Swift that swamped social media and raised the specter of a lawsuit by the infuriated singer.

The tech giant pushed an update to its popular tool, called Designer a text-to-image program powered by OpenAIs Dall-E 3  that adds  guardrails that will prevent the use of non-consensual photos, the company said.

The fake photos showing a nude Swift surrounded by Kansas City Chiefs players in a reference to her highly-publicized romance with Travis Kelce were traced back to Microsofts Designer AI before they began circulating on X, Reddit and other websites,tech-focused site 404 Media reported on Monday.

“We are investigating these reports and are taking appropriate action to address them,” a Microsoft spokesperson told 404 Media, which first reported on the update.

“We have large teams working on the development of guardrails and other safety systems in line with our responsible AI principles, including content filtering, operational monitoring and abuse detection to mitigate misuse of the system and help create a safer environment for users,” the spokesperson added, noting that per the company’s Code of Conduct, any Designer users who create deepfakes will lose access to the service.

Representatives for Microsoft did not immediately respond to The Post’s request for comment.

The update comes as Microsoft CEO Satya Nadella said tech companies need to move fast to crack down on the misuse of artificial intelligence tools. 

Nadella, whose company is a key investor in ChatGPT creator OpenAI, described the spread of fake pornographic images of the Cruel Summer singer as alarming and terrible.

We have to act. And quite frankly, all of us in the tech platform, irrespective of what your standing on any particular issue is, Nadella said, according to a transcript ahead of an interview on NBC Nightly News interview, which will air Tuesday.

I dont think anyone would want an online world that is completely not safe for both content creators and content consumers. 

The Swift deepfakes were viewed more than 45 million times on X before finally being removed after about 17 hours.

A source close to Swift was appalled “the social media platform even let them be up to begin with,” the Daily Mail reported, especially considering Xs Help Center outlines policies that prohibit posting synthetic and manipulated media as well as non-consensual nudity.”

Over the weekend, Elon Musks social media platform took the extraordinary step of blocking any searches involving Swifts name from yielding results even those that were harmless.

X executive Joe Benarroch described the move as a temporary action and done with an abundance of caution as we prioritize safety on this issue.

The ban remained in effect Monday.

The controversy could mean another headache for Microsoft and other AI leaders who are already facing mounting legal, legislative and regulatory scrutiny over the burgeoning technology.

White House Press Secretary Karine Jean-Pierre described the deepfakes trend as very alarming and said the Biden administration was going to do what we can to deal with this issue.

The rise of AI deepfakes could emerge as a key theme later this week when Meta CEO Mark Zuckerberg, TikTok CEO Shou Chew and other prominent tech bosses testify before a Senate panel.

Earlier this month, Rep. Joseph Morelle (D-NY) and Tom Kean (R-NJ) reintroduced a bill that would make the nonconsensual sharing of digitally altered pornographic images a federal crime, with imposable penalties like jail time, a fine or both.

The Preventing Deepfakes of Intimate Images Act was referred to the House Committee on the Judiciary, but the committee has yet to make a decision on whether or not to pass the bill.

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Rocket Lab stock jumps 8%, building on strong two-month rally

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Rocket Lab stock jumps 8%, building on strong two-month rally

An Electron rocket launches the Baby Come Back mission from New Zealand on July 17, 2023.

Rocket Lab

Rocket Lab stock soared 8% Monday, building on a strong run fueled by space innovation.

Shares of the space infrastructure company have nearly doubled over the last two months following a slew of successful launches and a deal with the European Union.

The stock is up 63% year to date after surging nearly sixfold in 2024.

Last month, Rocket Lab announced a partnership with the European Space Agency to launch satellites for constellation navigation before December.

Rocket Lab also announced the successful launch of its 66th, 67th and 68th Electron rockets in June. The company successfully deployed two rockets from the same site in 48 hours.

Read more CNBC tech news

Rocket Lab competes with a growing list of companies in a maturing and increasingly competitive space industry with growing demand. Some of the main competitors in the sector include Elon Musk‘s SpaceX and Firefly Aerospace, which filed its prospectus to go public on Friday.

“For Electron, our little rocket, we’ve seen increased demand over the last couple of years and we’re not just launching single spacecraft — these are generally entire constellations for customers,” CEO Peter Beck told CNBC last month.

He said the company is producing a rocket every 15 days.

Beck, a New Zealand-native, founded the company in 2006. Since its debut on the Nasdaq in August 2021 through a merger with a special purpose acquisition company, the Long Beach, California-based company’s market value has swelled to more than $19 billion.

WATCH: Rocket Lab CEO Peter Beck: One thing I don’t worry about at night is demand

Rocket Lab CEO Peter Beck: One thing I don't worry about at night is demand

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Ford beat every supercar at Goodwood with a truck because EVs are just better

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Ford beat every supercar at Goodwood with a truck because EVs are just better

The Goodwood Festival of Speed happened this weekend, and Ford’s electric SuperTruck managed to beat every other vehicle, gas or electric, to the top of the hill.

The Goodwood Festival of Speed is a yearly event on the grounds of Goodwood House, a historic estate in West Sussex, England. The event started in 1993, and has become one of the largest motorsports festivals in the world.

Many companies attend Goodwood to debut new models, and enthusiasts or race teams will show off rare or customized vehicles or race unique cars.

One of the central features of the event is the Goodwood hillclimb, a short one-way race up a small hill on the property. The track is only 1.17mi/1.89km long, with a 304ft/92.7m uphill climb. It’s not a particularly taxing event – merely a fun way to show off some classic or unique racing vehicles.

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As is often the case, companies brought out several interesting EVs to the event, including Honda’s Super EV concept, the recently-unveiled Hyundai Ioniq 6N, and the upcoming Porsche Cayenne EV, still in camouflage after recently setting an SUV record at another UK hillclimb.

Many of these cars came just to show off, to do a demonstration run up the hill and join the company of the world’s most exotic hypercars.

But some cars show up for the glory, and join “the shootout,” the sprint up the hill for the best time.

And Ford didn’t come to show off, it came to win. And in order to win, it brought…. a truck.

The F-150 “SuperTruck” / Source: Ford

Ford’s SuperTruck is a one-off, 1,400+ horsepower prototype electric vehicle, supposedly based on the F-150 Lightning, but in fact bearing almost no similarity or even resemblance.

It’s been festooned with aerodynamic elements all about, lowered, equipped with race tires, and power output has been boosted to the aforementioned 1,400hp. It was driven by Romain Dumas, who Ford have been using since 2022 to drive their electric prototypes.

For the purposes of a hillclimb, perhaps the most important aspect is the Ford’s electric drive. Hillclimbs are a popular form of racing in Britain, and often consist of a short sprint up a small hill, showcasing acceleration and nimbleness more than anything.

Electric cars do well in this sort of racing due to their instant low-end torque, being able to jump off the line faster than the gas competition. They also tend to have plenty of torque, which helps with carrying them up the hills involved.

EVs do well on longer hillclimbs too, because as races reach higher and higher altitudes, gas cars suffer from reduced power due to less oxygen being available for combustion. EVs don’t suffer from this, so they tend to do well at, say, Pike’s Peak hillclimb – which, incidentally, Ford also brought its SuperTruck to, and also beat everybody at.

This year was not the first time Ford has brought a ridiculous electric chonker to Goodwood. Last year, it brought the SuperVan, which has a similar powertrain to the SuperTruck, and also beat everybody.

The SuperVan’s main competition last year was Subaru’s 670hp “Project Midnight” WRX, piloted by Scott Speed, who Dumas handily defeated by over two seconds, 43.98 to 46.07. And this year, the SuperTruck’s main competition was… the same Subaru, piloted by Speed, who Dumas handily defeated by just under two seconds, 43.23 to 45.03.

Ford did not, however, set an all-time record with the SuperTruck, in fact coming in fifth on the list of fastest runs ever. In front of it are two gas cars and two electric – the gas-powered Gould GR51, a tiny open-wheel race car, with a 42.90; an F1 car driven by Nick Heidfeld that set a 41.6 in 1999; the electric VW ID.R, also piloted by Dumas with a 39.90 (which broke Heidfeld’s 20-year record); and the all-time record holder the electric McMurtry Spierling “fan car,” with a mind-blowing 39.08 in 2019.

You’ll notice something similar about all of these – they’re all small racecars that are actually built for speed, whereas the truck is… a big truck. And yet, Ford still managed to beat every single challenger this year, with its big honker of an EV, because EVs are just better.

Watch the run in full below, starting at 9:34. Blink and you’ll miss it.

And now, if Ford continues its pattern, we’re looking forward to seeing the Super Mustang Mach-E at Goodwood next year, which did well this year at a tough Pike’s Peak, getting first in its class and second overall, likely due to inclement conditions that limited running to the lower portion of the course, limiting the EV’s high-altitude advantages.

Given the Super Mustang is a real racecar, and not a chonky truck, it might even give VW’s ID.R time a run for its money (but, frankly, really has no shot at the overall record, because the Spierling’s “fans” give it an absurdly unbeatable amount of downforce).


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Anthropic, Google, OpenAI and xAI granted up to $200 million for AI work from Defense Department

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Anthropic, Google, OpenAI and xAI granted up to 0 million for AI work from Defense Department

A view of the Pentagon on December 13, 2024, in Washington, DC. Home to the US Defense Department, the Pentagon is one of the world’s largest office buildings.

Daniel Slim | Afp | Getty Images

The U.S. Department of Defense on Monday said it’s granting contract awards of up to $200 million for artificial intelligence development at Anthropic, Google, OpenAI and xAI.

The DoD’s Chief Digital and Artificial Intelligence Office said the awards will help the agency accelerate its adoption of “advanced AI capabilities to address critical national security challenges.” The companies will work to develop AI agents across several mission areas at the agency.

“The adoption of AI is transforming the Department’s ability to support our warfighters and maintain strategic advantage over our adversaries,” Doug Matty, the DoD’s chief digital and AI officer, said in a release.

Elon Musk’s xAI also announced Grok for Government on Monday, which is a suite of products that make the company’s models available to U.S. government customers. The products are available through the General Services Administration (GSA) schedule, which allows federal government departments, agencies, or offices to purchase them, according to a post on X.

OpenAI was previously awarded a year-long $200 million contract from the DoD in 2024, shortly after it said it would collaborate with defense technology startup Anduril to deploy advanced AI systems for “national security missions.”

In June, the company launched OpenAI for Government for U.S. federal, state, and local government workers.

WATCH: US needs an allied strategy for AI investment in military and defense: Palantir

US needs an allied strategy for AI investment in military and defense: Palantir

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