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Anthropic Reports $16.8 Billion in Q3 Revenue and Achieves Profitability for the First Time

Anthropic reported $16.8 billion in third-quarter revenue, up 45% quarter-over-quarter, and achieved profitability for the first time on an adjusted basis. Revenue rose from $4.7 billion in the first quarter to $11.6 billion in the second quarter. The company plans to launch an IPO after the U.S. midterm elections in November, with a target valuation of $2 trillion, while committing to invest at least $5.18 trillion in cloud and infrastructure over the next 10 years.

Indian Supreme Court proposes hash database and penalty framework to platforms for CSAM regulation

In a 137-page order, the Indian Supreme Court declined to ban children from using social media or impose age-based restrictions, holding that internet access is a fundamental right guaranteed under Articles 21 and 19(1)(a) of the Constitution, while also proposing a regulatory framework for child sexual abuse and exploitation material (CSEAM/CSAM). The framework calls for a national database recording hashes and URLs of confirmed content, which could be built on the Sahyog portal, along with supporting processes including manual verification, an independent appeals channel, confirmation of reports within 24 hours, takedown within two hours, and reporting to bodies such as the SJPU. The court also recommended that the government consider fines beyond intermediary liability and the confiscation of revenue earned from disseminating such content through paywalls; the framework has not yet been implemented, and the government must submit an affidavit before the next hearing on December 10 explaining its progress.

Microsoft exits Nscale's UK Essex AI data center project over power supply issues

Microsoft has exited UK company Nscale's AI data center project in Loughton, Essex, due to power supply issues, and will no longer serve as the project's anchor tenant. The project was once called by the UK government the country's largest sovereign AI data center and was originally planned to open next year, but UK grid operator UKPN said it would not be able to provide sufficient power until the early-to-mid 2030s at the earliest. Nscale said it remains committed to the project, is exploring alternative power supply options such as on-site generation, and said its long-term partnership with Microsoft is unaffected.

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Eight US states sue OpenAI, alleging ChatGPT harms children and deceives adults

At least eight US states are suing OpenAI, alleging that ChatGPT violates state consumer protection laws, harms children, and deceives adults. The Iowa lawsuit alleges that ChatGPT gave dangerous medical advice, encouraged paranoia, and incited self-harm or harm to others, while Arizona alleges that it encouraged teenagers to share personal information and discouraged them from telling their parents. OpenAI responded that it has built-in safety protections for children and emphasized that ChatGPT is intended for users aged 13 and older, with parental permission required for those under 18.

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