The world's first AI cabinet member

PLUS: An AI solves a tough math proof and the OpenAI/Microsoft $100B+ deal

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Albania has appointed the world's first AI cabinet member, an AI system tasked with combating corruption in government. This move places an AI named 'Diella' in charge of overseeing all public procurement contracts.

The system aims to remove human bias and bribery from the contracting process. But will this unprecedented experiment in AI governance succeed, or could new forms of digital manipulation undermine its anti-corruption mission?

Today in AI:
  • Albania's first AI cabinet member to fight corruption

  • An AI solves a complex math proof

  • OpenAI and Microsoft's $100B+ partnership deal

  • Perplexity faces lawsuit amid new funding round

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What’s new? lbania has made history by appointing an AI system named 'Diella' to an official cabinet position, tasked with overseeing all government procurement contracts to combat corruption.

What matters?

  • The virtual minister is specifically responsible for evaluating and awarding all public tenders where the government contracts with private firms.

  • Prime Minister Edi Rama claims the AI will eliminate bribes and external threats from the decision-making process for these contracts.

  • This move expands on Diella's existing role serving citizens via a digital portal, but it also introduces significant security concerns about potential manipulation and malicious workarounds.

Why it matters?

This is a groundbreaking, real-world experiment in applying AI to complex governance and anti-corruption efforts. The outcome could set a precedent for how other nations integrate automated systems into critical government functions.

What’s new? Math Inc. just introduced Gauss, an AI system that formally solved the Strong Prime Number Theorem. The AI accomplished this in just three weeks, cracking a complex proof that had puzzled human mathematicians for 18 months.

What matters?

  • The AI’s speed was remarkable, completing the formal proof in three weeks after top mathematicians spent 18 months making only intermediate progress on the problem.

  • Gauss worked autonomously to generate 25,000 lines of verified mathematical code, which contained over 1,000 interconnected proofs and definitions.

  • Math Inc. plans to use this breakthrough to expand its library of mathematical code by up to 1000x, aiming to create training data for future machine polymaths.

Why it matters?

Solving complex mathematics demonstrates a significant leap in AI's reasoning abilities beyond simple pattern matching. This progress indicates that AI systems are getting closer to creating novel ideas and accelerating our fundamental understanding of the world.

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What’s new? OpenAI and Microsoft have signed a non-binding agreement to restructure their partnership. The deal gives OpenAI's original nonprofit entity an equity stake worth over $100 billion in its for-profit arm, solidifying their high-stakes alliance.

What matters?

  • This hybrid model directs profits to the nonprofit parent, which immediately launched a $50M grant initiative to support AI literacy and community-led innovation.

  • The new structure is also a crucial step that opens the door for a potential future IPO, creating a path to fund ambitious, large-scale projects.

  • Despite the agreement, the deal still awaits regulatory approval and faces scrutiny from the Attorneys General of California and Delaware.

Why it matters?

This agreement provides stability for one of the most critical partnerships in the AI industry, securing the foundation for future innovation. The unique for-profit/nonprofit structure could also establish a new blueprint for funding capital-intensive AGI research while preserving a public-benefit mission.

What’s new? AI search startup Perplexity is hitting major highs and lows, reportedly raising a massive new funding round while simultaneously facing a major copyright lawsuit from Encyclopedia Britannica.

What matters?

  • Encyclopedia Britannica and Merriam-Webster filed a federal copyright lawsuit alleging Perplexity scrapes and misattributes their content.

  • Meanwhile, the company is reportedly raising $200M in a new funding round that would bring it to a massive $20 billion valuation.

  • The legal challenge strikes at the heart of Perplexity’s model, which relies on its AI answer engine to synthesize information from existing online sources to provide users with direct answers.

Why it matters?

This case highlights the growing tension between the data-hungry nature of AI development and the intellectual property rights of creators. The outcome could establish a critical precedent for how AI companies can legally use and cite copyrighted material.

Everything else in AI

Anthropic announced the rollout of memory for Teams and Enterprise users, allowing Claude to optionally remember and use previous chats and project conversations.

Alibaba released Qwen3-Next, a hyper-efficient 80B parameter hybrid model that tops the performance of its predecessor at a fraction of the training cost.

The U.S. Federal Trade Commission launched a probe into major AI labs including OpenAI, Google, and Meta to study the impacts of their chatbots on children and teenagers.

Inception Point AI revealed it is producing over 3,000 podcast episodes per week using AI hosts, with each episode costing just $1 to create.

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