Fox News AI Newsletter: AI company accused of favoring foreigners over American workers

18 Aug 2026 By foxnews

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IN TODAY'S NEWSLETTER:

- OpenAI to pay $3.2 million to settle DOJ allegations it favored foreign workers over Americans

- AI kill-switch bill could shut down rogue models

- Battlefield robots open new front in innovation war with major US adversary

STACKED DECK: OpenAI and one of its subsidiaries will pay $3.2 million to settle allegations that they discriminated against U.S. workers by favoring foreign workers with temporary employment visas, the Justice Department announced Tuesday.

POWER PLAY: President Donald Trump warned that the artificial intelligence race is the most critical competition in centuries. He argues that American communities must embrace AI data centers to secure technological dominance over China. Securing victory in the global artificial intelligence race is critical, Trump told Trace Gallagher during their exclusive interview.

ROGUE MACHINE: The phrase "AI kill switch" sounds like a red button hidden behind glass in a government bunker. The proposal now before Congress looks less dramatic, but it could give Washington significant new power over the country's largest AI companies.

UNTETHERED INTEL: The U.S. Army is teaming up with an artificial intelligence company to build an AI "brain" for military robots that can think, understand their surroundings and continue missions even after losing contact with human operators as the race for AI dominance intensifies.

HIDDEN HAND: Several major news organizations are hosting reporter fellows with salaries paid by donor-supported AI journalism groups, relationships that frequently go undisclosed.

'UNAUTHORIZED' BREACH: Revelations of OpenAI and Anthropic artificial intelligence agents hacking third parties has drawn the "serious concern" of Sen. Lisa Blunt Rochester, D-Del., who is seeking answers from the two businesses incorporated as public benefit companies in her state.

OPINION: Artificial intelligence sits at the center of nearly every major debate, from jobs and data centers to healthcare, national security and consumer protection. Missing from the national spotlight, however, is a more fundamental question: Will AI models pursue the truth, or will they be permitted to bury undisclosed biases inside their responses?

ON DUTY: What if the next security guard rolling past your office had one wheel and never needed a coffee break? That is the pitch behind 1Rollo, a one-wheeled AI security robot from Estonian startup Rollo Robotics. The company believes its narrow design could patrol large properties at a lower operating cost than traditional security vehicles.

MAN OVER MACHINE: Investors are turning to artificial intelligence tools for guidance on their finances and investments, though they remain skeptical of its output and continue to lean on human advice ahead of key decisions, new data shows.

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