LWiAI Podcast #212 - o3 pro, Cursor 1.0, ProRL, Midjourney Sued

OpenAI adds o3 Pro to ChatGPT and drops o3 price by 80 per cent, ProRL: Prolonged Reinforcement Learning Expands Reasoning Boundaries

Our 212th episode with a summary and discussion of last week's big AI news!
Recorded on 06/33/2025

Hosted by Andrey Kurenkov and Jeremie Harris.
Feel free to email us your questions and feedback at contact@lastweekinai.com and/or hello@gladstone.ai

In this episode:

• OpenAI introduces O3 PRO for ChatGPT, highlighting significant improvements in performance and cost-efficiency.

• Anthropic sees an influx of talent from OpenAI and DeepMind, with significantly higher retention rates and competitive advantages in AI capabilities.

• New research indicates that reinforcing negative responses in LLMs significantly improves performance across all metrics, highlighting novel approaches in reinforcement learning.

• A security flaw in Microsoft Copilot demonstrates the growing risk of AI agents being hacked, emphasizing the need for robust protection against zero-click attacks.

Timestamps + Links:

• (00:00:11) Intro / Banter

• (00:01:31) News Preview

• (00:02:46) Response to Listener Reviews

• Tools & Apps

  • (00:04:48) OpenAI adds o3 Pro to ChatGPT and drops o3 price by 80 per cent, but open-source AI is delayed

  • (00:09:10) Cursor AI editor hits 1.0 milestone, including BugBot and high-risk background agents

  • (00:13:07) Mistral releases a pair of AI reasoning models

  • (00:16:18) Elevenlabs' Eleven v3 lets AI voices whisper, laugh and express emotions naturally

  • (00:19:00) ByteDance's Seedance 1.0 is trading blows with Google's Veo 3

  • (00:22:42) Google Reveals $20 AI Pro Plan With Veo 3 Fast Video Generator For Budget Creators

• Applications & Business

  • (00:25:42) OpenAI and DeepMind are losing engineers to Anthropic in a one-sided talent war

  • (00:34:32) OpenAI slams court order to save all ChatGPT logs, including deleted chats

  • (00:37:24) Nvidia’s Biggest Chinese Rival Huawei Struggles to Win at Home

  • (00:43:06) Huawei Expected to Break Semiconductor Barriers with Development of High-End 3nm GAA Chips; Tape-Out by 2026

  • (00:45:21) TSMC’s 1.4nm Process, Also Called Angstrom, Will Make Even The Most Lucrative Clients Think Twice When Placing Orders, With An Estimate Claiming That Each Wafer Will Cost $45,000

  • (00:47:43) Mistral AI Launches Mistral Compute To Replace Cloud Providers from US, China

• Projects & Open Source

  • (00:51:26) P in Large Language Models

• Research & Advancements

  • (00:57:27) Kinetics: Rethinking Test-Time Scaling Laws

  • (01:05:12) The Surprising Effectiveness of Negative Reinforcement in LLM Reasoning

  • (01:10:45) Predicting Empirical AI Research Outcomes with Language Models

  • (01:15:02) EXP-Bench: Can AI Conduct AI Research Experiments?

• Policy & Safety

  • (01:20:07) Large Language Models Often Know When They Are Being Evaluated

  • (01:24:56) Beyond Induction Heads: In-Context Meta Learning Induces Multi-Phase Circuit Emergence

  • (01:31:16) Exclusive: New Microsoft Copilot flaw signals broader risk of AI agents being hacked—‘I would be terrified’

  • (01:35:01) Claude Gov Models for U.S. National Security Customers

• Synthetic Media & Art

  • (01:37:32) Disney And NBCUniversal Sue AI Company Midjourney For Copyright Infringement

  • (01:40:39) AMC Networks is teaming up with AI company Runway