OpenAI Plans To Stop Providing its Models to Cursor - DTH

[music] These are the daily tech headlines for the week ending Saturday, August 29th, 2026. I'm Sarah Lane. Let's catch up on some news. Open AI said in a post on its website that it will cut off Cursor's access from its models starting November 12th following the AI coding assistance acquisition by SpaceX AI. Cursor could also choose an earlier termination date. OpenAI said it can't be confident that SpaceX will use its technology within its terms of service based on its quote experience with Elon Musk's companies violating contracts. That is what OpenAI is saying. Now, the company and Musk have a history of beef. He was one of the company's earliest investors and allegedly left back in 2018 when OpenAI refused to implement a new board structure he proposed that would give him control of the company. Safe to say the beef is ongoing. The Wall Street Journal sources say South Korea is treating AI access more like public infrastructure. The government's AI for all push will give every citizen free access to premium level generative AI services with beta testing set for September and a full launch expected by the end of the year. South Korea is also putting about $7.2 2 billion into AI initiatives this year and supplying up to 512 Nvidia B200 chips to selected tech consortia. So this is about convenience but also AI sovereignty. The information sources say the US administration is considering new export controls aimed at Chinese access to advanced AI compute through remote servers in countries like Thailand and Singapore. Tom's Hardware notes the Commerce Department could share the draft rule with trade groups as soon as September, but there are real questions about whether the department can regulate remote access the same way it regulates physical chip shipments. This comes after claims that Moonshot used overseas Nvidia equipped servers to train Kimmy K3. Tencent released High4, that's HY4 preview, a new foundation model, it says beats ZAI and Moonshot AI in internal tests. The model has 770 billion parameters and a 1 million token context window, which means it can work with much larger prompts and documents all at once. Granted, these are Tencent's own benchmark claims, but they show another major Chinese tech company trying to claim a spot near the top of the AI model race. X says it found a China linked bot farm with roughly 200,000 suspected inauthentic accounts, including hundreds that posted about US AI data centers, energy costs, and grid reliability. Opposition to data centers is not exactly hard to find without foreign interference given local concerns about power and water and land use. So this may be a real information operation, but it doesn't mean every data center complaint is fake. Alphabet agreed to pay 260 million to settle a UK class action lawsuit over Google Play fees. The case accused Google of abusing its Android app store dominance by charging unfair commissions to developers, though Alphabet didn't admit liability. The settlement avoids a 10-week trial and reportedly sends 160 million pounds to UK app developers with the rest covering litigation costs. Meta is closing yet another smart glasses privacy loophole. This software update will stop recording if someone covers the capture LED after video has already started, which had been one way to hide the light that's supposed to notify anybody in the frame. Meta says only a small number of people even try to get around these safeguards, but needing another fix adds more fuel to the privacy problem around camera glasses. A leaked version of Nvidia's DLSS5 is out in the wild, and modders are adding its AI graphics effects to games like Cyberpunk 2077, Skyrim, Grand Theft Auto 5, and Final Fantasy 7 Rebirth. The files appear to be pulled from an early access build of NBA 2K27, giving players an early look at neural rendering features before Nvidia's official fall launch. Early reactions say there is better detail and lighting in some games, but also performance hits and visuals that can look a little too AI smoothed. Trusted bleeer digital chat station claimed on Waybo that the Oppo Find X10 Pro Max could be the first phone with three 200 megapixel rear cameras. That would mean a 200 megapixel main camera, telephoto camera, and ultrawide camera, which nobody's seen before. The phone could arrive in September or October, but for now, this is still firmly in leak territory. And finally, researchers at the University of Queensland, Australia, are testing remotec controlled giant burrowing cockroaches that can carry cameras and tiny drug injectors into spaces human rescuers can't reach. The paraborggs, as the team calls them, hit close-range injection targets 95% of the time when they got within 15 cmters, while the full navigation and injection task worked in 72% of trials. The idea is disaster rescue in collapsed buildings or caves. And researchers think cyborg insect teams could be deployed within 5 to 10 years. [music] For more analysis of the tech news of the day, subscribe [music] to daily technewshow.com. You can find show notes and links to all these headlines there as well. I'm Sarah Lane. Thanks [music] for listening. Enjoy your weekend. We'll talk to you Monday.