The lunch briefing.

Agent Benchmarking. The UK's AI Security Institute (AISI) reports that standard benchmarks consistently underestimate the true capabilities of AI agents. Their study, covering seven benchmarks, found that increasing the token budget tenfold for software engineering tasks boosted success rates by approximately 25 percent. This suggests that actual progress at the frontier is about 60 percent steeper than previously measured, with newer models benefiting most from increased compute. The findings highlight a critical gap in current evaluation methods, potentially obscuring rapid advancements in AI agent performance.

AI for Science. AI is rapidly expanding into scientific discovery, with Anthropic announcing "Claude Science," an AI workbench designed to accelerate drug development and scientific research. This platform aims to unify fragmented tools and datasets, generating figures and visuals to speed up discovery. Concurrently, Alibaba's Elements Claw AI agent has already unearthed four new superconducting compounds, verified through laboratory experiments. These developments underscore AI's growing potential to revolutionize fields from pharmaceuticals to materials science.

AI Policy and Ethics. Concerns over AI's ethical implications and security risks are prompting significant policy responses and corporate actions. The UK's National Crime Agency has warned parents against publicly sharing children's images due to the rising threat of AI-generated child abuse material. Separately, Alibaba has banned employees from using Anthropic's Claude Code, citing security vulnerabilities and past tracking of Chinese users. These incidents highlight the urgent need for robust safeguards and responsible AI deployment across industries.

AI's Economic Impact. The integration of AI continues to reshape labor markets and corporate strategies, with varied outcomes. Starling Bank is cutting 130 jobs as part of an AI-driven efficiency push, while SAP is refocusing its hiring on AI roles and reallocating budgets to increase AI spending. A new report suggests that companies embracing AI eventually add more workers, despite initial productivity gains. This dynamic reflects AI's dual impact on employment and the broader economy.

Digital Freedoms. Concerns are mounting over government surveillance and corporate control in the digital sphere. As the World Cup approaches, US cities are increasing surveillance capabilities, raising privacy alarms for spectators and residents. India is also planning a new legal framework to tighten oversight of VPN providers, potentially limiting internet freedom. In the gaming world, PlayStation's move to abandon game discs by 2028 is seen as a blow to game preservation and consumer ownership.