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These headlines cut to the heart of AI’s promise and its perils. Whistleblowers have peeled back OpenAI’s curtain, demanding the public see what’s really happening behind closed doors. Midjourney and YouTube are racing to redefine video creation with bold new models. And in lecture halls from Boston to Beijing, researchers warn that leaning on ChatGPT could be dulling our brains.
In today’s Generative AI Newsletter:
“The OpenAI Files” call for public oversight of AGI ambitions
Midjourney V1 animates static images into surreal short clips
YouTube Shorts integrates Veo 3, supercharging creator workflows
MIT study links heavy ChatGPT use to weaker neural engagement
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📂 “The OpenAI Files” Demand Oversight in the Race to AGI
Eric Lee/Bloomberg via Getty Images
Two nonprofit watchdogs, the Midas Project and Tech Oversight Project, have launched The OpenAI Files, a public archive outlining concerns about OpenAI’s leadership, safety practices, and shift away from its nonprofit roots.
Key details:
OpenAI plans to scrap its 100x cap on investor profits, a move that walks back its original mission of prioritizing humanity over returns.
The group accuses OpenAI of weakening its nonprofit board, claiming it now lacks real control over the for-profit arm.
Documents describe a culture of speed over safety, with rushed rollouts and investor-driven decisions.
Altman’s role is under scrutiny again, with references to conflicts of interest and his 2023 ouster attempt resurfacing.
The Files frame AGI as too powerful to be shaped in secrecy. The campaign aims to push for stronger transparency as the company moves closer to artificial general intelligence. As OpenAI’s influence grows, pressure is mounting for public oversight, not just private ambition.
🎥 Midjourney Launches First AI Video Model, V1
Image Credits: Midjourney
Midjourney has officially entered the AI video race with the release of V1, its first image-to-video model. Available only on the web via Discord, the model allows users to animate any image into short clips.
What’s new:
V1 generates four 5-second clips per image, extendable to 20 seconds, with pricing set at 8x the cost of image generation.
Users can opt for automatic or manual animation, describing specific camera moves and subject actions using text prompts.
The model accepts both Midjourney and external images, with video outputs carrying the same surreal aesthetic the brand is known for.
CEO David Holz called V1 a step toward real-time open-world simulations, with plans to expand into 3D and real-time models next.
Midjourney’s distinct style could carve a niche in a space dominated by realism. But with mounting legal pressure and rising competition from OpenAI, Runway, and Google, V1’s creative edge may not be enough to shield it from deeper scrutiny.
đź“ą YouTube to Integrate Veo 3 AI Model into Shorts
Image Credit: Cannes 2025
YouTube CEO Neal Mohan announced that Google DeepMind’s Veo 3, the latest in state-of-the-art AI video models, will be integrated into YouTube Shorts later this summer. The update aims to give creators powerful new tools as YouTube races to stay ahead in the short-form video wars.
Key details:
Veo 3 vastly improves video quality and adds audio capabilities, expanding on the earlier Dream Screen tool already used for AI-generated backgrounds.
Shorts now hits over 200 billion daily views, making it a critical battleground in the fight against TikTok and Instagram Reels.
Mohan emphasized Veo 3 will “open new creative lanes,” allowing creators to generate clips and experiment with imaginative storytelling using text prompts.
YouTube is also scaling its AI dubbing tool, now translating videos in 9 languages with 11 more on the way, and over 20 million videos dubbed so far.
With creators now dubbed “the startups of Hollywood,” YouTube is betting that advanced AI tools like Veo 3 will not just enhance workflows but redefine who gets to participate in entertainment. As formats evolve and platforms converge, the edge will belong to whoever gives creators the best toolkit.
🧠MIT Study Links ChatGPT to Weaker Brain Function in Students
Image Credit: MIT
A four-month MIT study tracked the brain activity of 54 students writing SAT-style essays and found that those who used ChatGPT performed worse across memory, neural connectivity, and perceived ownership. The study suggests early LLM use could blunt key learning functions.
Inside the Experiment:
Brain-only students showed the strongest activity in creativity, memory, and processing
ChatGPT users had the weakest neural connections and struggled to remember their own writing
Google users landed in the middle — better than AI, worse than unaided
Switchers who started without AI, then used it later, showed better brain engagement than those who started with ChatGPT
The implications go beyond one test. This study suggests AI tools may blunt critical thinking the longer they’re used. What starts as “help” can gradually become cognitive outsourcing and in classrooms built around learning, that’s a quiet crisis.
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