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Elon Musk Champions AI Regulation in California: Is that Good, Bad or Ugly?

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In a significant development for the AI sector, Elon Musk, the CEO of Tesla and owner of the social media platform X, recently voiced his support for California’s proposed SB 1047 bill. This bill aims to enforce stricter regulations on advanced AI models, particularly focusing on safety testing conducted by tech companies and AI developers. Musk’s endorsement highlights a pivotal moment in the ongoing dialogue about AI regulation, given his previously more skeptical stance on such measures.

California’s legislative session has been marked by a flurry of AI-related proposals, with 65 bills introduced, many of which have already been shelved. Among these, AB 3211, which calls for the labeling of AI-generated content, has garnered backing from tech giants like Microsoft and OpenAI. This bill seeks to address the growing concerns about the impact of AI-generated content, from harmless memes to potentially harmful deepfakes influencing political landscapes, especially as several countries prepare for elections this year.

Andreas Hassellof, CEO of Ombori, a company with a strong presence in UAE and at the forefront of responsible AI development, shares his perspective on this evolving situation. “Elon Musk’s recent endorsement of California’s SB 1047 has sparked a crucial conversation within the tech community. I believe this debate represents a critical juncture in the evolution of AI technology and policy,” Hassellof comments.

He notes the surprise within the industry at Musk’s shift in stance on AI regulation. “Musk’s support for this bill underscores the complexity of the issues we face as we push the boundaries of AI capabilities,” Hassellof adds. While his company supports the need for regulation to ensure AI is developed and deployed safely, Hassellof expresses concerns about the bill’s approach, particularly its potential limitations on compute capacity. “While the intention behind SB 1047 is understandable, we worry that restricting compute power could inadvertently stifle innovation without effectively addressing the core safety concerns.”

Hassellof emphasizes the importance of open-source development in AI. “The collaborative nature of open-source development has been a cornerstone of AI innovation. Many ventures, including potentially Musk’s own xAI, have thrived in this ecosystem. We must be cautious not to implement regulations that could hinder this vital aspect of AI development.”

He also highlights the global perspective on AI regulation, noting that regions like the UAE, with a strong support for innovation, could emerge as new hubs for AI development if they adopt a more balanced regulatory approach. “Rather than imposing broad restrictions, we advocate for targeted regulations that address specific high-risk applications of AI while still promoting innovation and collaboration,” Hassellof suggests.

As the AI sector continues to advance, Hassellof calls for a nuanced approach to governance. “The future of AI is too important to be decided by hasty legislation or blanket solutions. We must work together—policymakers, industry leaders, and the tech community—to create regulations that protect against genuine risks without sacrificing our innovative edge or the spirit of open-source collaboration that has driven so much progress.”

Hassellof reaffirms the company’s commitment to responsible AI development and stresses the need for ongoing dialogue to shape a future where AI benefits everyone. “We believe that open dialogue and collaboration are key to crafting regulations that ensure AI’s potential is realized responsibly,” he concludes.

As the debate over AI regulation continues, it’s clear that finding a balance between safety and innovation is paramount. The growing support for regulatory measures like SB 1047 reflects a recognition of the need to address potential risks associated with advanced AI technologies. However, the challenge lies in crafting regulations that are both effective in mitigating risks and conducive to fostering innovation.

As we move forward, the question remains: How can policymakers design AI regulations that safeguard against genuine threats while preserving the open and collaborative environment that has driven so much progress in the field? The answer will likely involve a thoughtful dialogue between regulators, industry leaders, and the tech community. Only by working together can we ensure that AI’s development is guided by principles that protect society without stifling the innovative spirit that has propelled the industry to new heights.

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New Cequence & EMA Research: 94% of Enterprises Trust Their AI Agents Aren’t Over-Provisioned. Only 33% Actually Enforce It.

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Nearly every enterprise believes its AI agents are properly scoped. Only a third have actually made sure of it.

Today, new research from Cequence Security, the leader in application, API, and agentic AI protection, and Enterprise Management Associates (EMA) found that 94% of enterprise IT and security leaders are confident their AI agents do not have more access than they need, yet only 33% actually provision agents with least-privilege access. The remaining two-thirds run on broad standing permissions that are reviewed periodically, rarely reviewed, or never reviewed at all.

That gap between confidence and practice is already showing up in production, not a theoretical risk, but as incidents enterprises are living with right now. Among the organizations surveyed:

  • 65% have experienced an AI agent take an action outside its intended scope, including 29% with measurable business impact, including data exposure, financial loss, operational disruption, or reputational damage. Another 36% caught a near-miss before it caused damage.
  • Only 32% can detect and contain an out-of-scope agent action within minutes through automated means; 55% need hours and manual steps to respond.
  • In approximately 4% of organizations surveyed, the first sign of trouble came from a customer or outside partner, not an internal system.

The findings point to one clear story. Governance has not kept pace with the speed of agentic AI deployment, and that gap is showing up at every stage of the agent lifecycle, from how agents are provisioned, to how their actions are authorized, to how they are decommissioned once a pilot ends. Other key findings from the report include:

Enterprises Have Moved Past the Pilot Stage

The scale of deployment makes the gap more urgent. 46% of organizations report they are already scaling agentic AI across multiple departments and production workflows, and 79% are running generative and agentic AI simultaneously. Further, more than 92% report an increase in AI and bot-driven traffic targeting customer-facing applications and APIs.

Authorization is Checked at the Wrong Time, Or Not At All

That governance gap extends to how access is enforced in the moment an agent acts. Only 34% of organizations evaluate an AI agent’s authorization at the moment it attempts a specific action. The majority rely on periodic policy reviews or standing permissions set once at provisioning and never revisited, meaning an agent’s access can quietly outlive the task it was originally granted for, and keep working long after anyone signed off on it.

Abandoned Pilots Are Leaving Live Credentials Behind

Additionally, there’s an increasing risk in how enterprises manage agents that don’t make it to production. 31% of agentic AI pilots have been paused indefinitely, discontinued, or abandoned. Many were real deployments with real system access and credentials that were never cleaned up. Every abandoned pilot with live credentials is exposure nobody is actively watching.

External Connectivity Carries the Same Risk

14% of organizations allow AI agents to connect to outside tools and data sources via the Model Context Protocol (MCP) without restriction. Among the majority who do limit those connections to an approved list, fewer than half, just 49%, have a dedicated team actively maintaining and auditing that list on a regular basis.

Christopher M. Steffen, CISSP, CISA, VP of Research at EMA, said: “This research shows enterprises have moved well past experimentation with agentic AI right into production, and governance has not kept pace with that shift. The gap isn’t a lack of awareness; most organizations have policies in place and express real confidence in them. The gap is between what’s written down and what’s enforced when an agent takes an action nobody approved. That disconnect shows up most clearly in how organizations authorize agent actions and monitor them once they’re live, and it’s the reason incidents are happening at a rate the industry hasn’t fully reckoned with.”

Shreyans Mehta, Co-founder and CTO at Cequence, said: “The number that jumped out to me is the 92% being confident in their governance frameworks. Confidence like that is a trap; it’s exactly why organizations stop looking for problems, stop investing in monitoring, and let authorization checks lapse until an incident forces the conversation. This is the exact blind spot Cequence is built to close, giving security teams real-time visibility into what AI agents are actually doing and enforcing authorization at the moment an agent acts, not after the fact.”

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Anomali to Address the Next Phase of AI-Led Cyber Defense at GISEC 2026

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Anomali, the leading global Managed Intelligence and Agentic SOC platform, announced its participation at GISEC Global 2026, taking place through 16-18 September at Dubai Exhibition Centre (DEC), Expo City.

The company’s discussions at GISEC will center on Autonomous SOC with Governed AI, Agentic AI, Actionable Threat Intelligence and Unified Security Data Lake capabilities that are changing the manner in which security teams investigate threats, manage workflows and make decisions.

Samer Jadallah, Vice President, Middle East & Africa at Anomali, will represent the company at GISEC and will focus on the growing impact of AI on both attackers and defenders, emerging shifts in the threat landscape, including the need to counter CEO impersonation attacks as well as key challenges facing modern security teams. He will also highlight AI’s role is helping organizations respond more effectively to evolving threats, Anomali’s commitment to the region and ongoing product innovation and plans to expand adoption of the Anomali platform across global enterprises and government organizations.

A key focus at this year’s event will be the changing nature of cyberattacks. As threat actors promptly adopt AI to scale campaigns and further accelerate attacks, security operations centers (SOC) are under growing pressure to process rising volumes of alerts with limited resources. To help with this, Anomali will demonstrate how AI can support analysts in multiple ways like surfacing higher- value insights, reducing manual effort and enabling quicker, informed responses.

Visitors can find Anomali at Booth E156 and Booth A80.

  • Event: GISEC Global 2026
  • Booths: E156 and A80
  • Location: Dubai Exhibition Centre (DEC), Expo City
  • Dates: 16 th to 18 September 2026
  • Time: 9:00 am to 5:00 pm GST
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HONOR BRINGS ITS ALPHA PLAN TO LIFE AT LEAP 2026 WITH THE WORLD’S FIRST ROBOT PHONE AND RENEWED “DARE TO BE” BRAND DIRECTION

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HONOR, a global leading AI device ecosystem company, concluded its participation at LEAP 2026, bringing its “ALPHA PLAN: From Vision to Reality” to life through the world’s first Robot Phone, advancements in robotics, cinematic imaging and connected AI experiences. The participation also marked HONOR’s renewed “Dare to Be” brand direction reflecting its continued transformation from a company predominantly known for smartphones into a broader global AI device ecosystem company.

Commenting on the participation, Lei Kunming, CMO HONOR Middle East & Africa said, “LEAP 2026 showed how HONOR’s ALPHA PLAN is moving from vision to reality. From the world’s first Robot Phone and Robotics to our connected ecosystem, we demonstrated how AI can work more naturally around people.” He added “Our ‘Dare to Be’ direction gives that transformation a stronger identity, with Saudi Arabia remaining central to our growth in AI and digital innovation.”

Bringing the HONOR Booth Experience to Life

Visitors explored HONOR’s expanding ecosystem through interactive experiences spanning sports, gaming, smart office, learning and everyday scenarios.

The booth demonstrated how smartphones, PCs, tablets, wearables and other smart devices can work together to deliver more seamlessly, across work, entertainment, sports and health, reflecting the ALPHA PLAN’s ambition to create a more intelligent, connected and human-centric ecosystem around the user.

Introducing the World’s First Robot Phone

At the centre of HONOR’s showcase was the world’s first Robot Phone, a defining proof point of the ALPHA PLAN and a new category combining AI, robotics and cinematic imaging.

Its integrated robotic gimbal can move, track subjects and respond to its surroundings, enabling more intuitive and proactive content creation. LEAP also marked the Robot Phone’s reveal for the Middle East and Africa, making the region the first overseas market to experience the new category.

HONOR also highlighted its collaboration with ARRI, bringing more than 100 years of professional cinema and image science expertise together with HONOR’s AI and robotics capabilities to make cinematic content creation more accessible to everyday users.

Advancing a Future Built on Human and AI Collaboration

Beyond the Robot Phone, HONOR showcased its ambitions in robotics through HONOR Robotics D1, reinforcing its vision of a future shaped not by humans competing against AI, but by humans working with AI to achieve more. The company also explored the future of AI devices and robotics through its LEAP keynote and panel discussions.

Entering a New “Dare to Be” Era

Reflecting this evolution, HONOR’s renewed“Dare to Be” direction reflects its evolution beyond individual devices towards an open AI ecosystem connecting technologies, industries and lifestyles. Supported by innovations including Agentic OS and AiMAGE, HONOR’s journey progresses from an intelligent phone to an intelligent ecosystem and, ultimately, an intelligent world.

Driving Growth Across MEA

HONOR entered LEAP with strong regional momentum. In H1 2026, the company grew by 35% while the Middle East smartphone market declined by 13%, making HONOR the only leading smartphone brand in the region to grow and the second-largest smartphone brand in the Middle East. This followed 73% year-on-year growth in Q1 2026.

Within this regional growth, Saudi Arabia remains a particularly important market for HONOR, supporting the company’s broader ambitions across AI devices and its connected ecosystem.

Strengthening HONOR’s AIoT Presence in Saudi Arabia

As part of this momentum, Saudi Arabia remains a strategic market for HONOR and an important part of the ALPHA PLAN. The Kingdom is now HONOR’s number one tablet market by share, while its AIoT business has grown by more than 500% and HONOR Earbuds Clip has surpassed 100,000 units sold locally.

Building on this strong foundation, HONOR continues to strengthen its presence through retail, after-sales, local partnerships and deeper engagement with the Kingdom’s technology ecosystem.

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