Why AI Spending Keeps Outrunning Budgets

Jennifer Lawinski • June 12, 2026

AI spending is exceeding enterprise budgets as agentic systems scale into production. Analysts and CIOs say the real driver is uncontrolled token consumption, not pricing, and outline new governance, budgeting and model tiering strategies to bring AI spend under control.

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Data Security

Anthropic Unveils Claude Fable 5, Keeps Mythos Restricted

Latest

Agentic AI

VA Health AI Chat Tools Lack Oversight, Agency Warns

Marianne Kolbasuk McGee • June 12, 2026

Although Veterans Health Administration clinicians nationwide are using generative AI chat tools for patient care and documentation, the VHA has not established clear oversight and safeguards to mitigate risks, including potential patient safety issues, said a new watchdog agency report.

Artificial Intelligence & Machine Learning

ISMG Editors: Anthropic Unleashes Claude Mythos 5

Anna Delaney • June 12, 2026

In this week's panel, four ISMG editors discussed Anthropic's ambitious release of the Mythos and Fable 5 models, how cybersecurity teams are strengthening identity in complex cloud environments and the healthcare industry's efforts to govern artificial intelligence responsibly.

Cybercrime

Ozempic Drug Maker Loses Clinical Trial Data in Hack

Marianne Kolbasuk McGee • June 12, 2026

A hack on Danish pharmaceutical manufacturer Novo Nordisk has compromised some patients' clinical trial information, the maker of popular weight loss and diabetes treatment drugs including Wegovy and Ozempic said. The company is working to bring affected IT systems back online.

Governance & Risk Management

AI Reshapes Bug Bounties but Humans Still Matter

Tiffany Wang • June 12, 2026

AI is rapidly increasing vulnerability submissions and bug discovery rates, but security leaders, researchers and platform operators say human expertise remains essential for validating findings, prioritizing risk and sustaining effective bug bounty programs across commercial and open-source ecosystems.

Artificial Intelligence & Machine Learning

ISACA Survey: AI Adoption Is Rising, Visibility Is Not

Anna Delaney • June 12, 2026

AI is becoming embedded across the enterprise, yet many organizations still can't quantify its value or answer key questions about oversight and control. ISACA's latest AI Pulse Poll reveals persistent uncertainty about AI ROI, governance and operational readiness, said GRCIE CEO Jenai Marinkovic.

Artificial Intelligence & Machine Learning

Anthropic Limits on OT Access to Mythos Draw Criticism

Shaun Waterman • June 12, 2026

Anthropic has finally lifted the velvet rope and allowed a small handful of operational technology companies to join Project Glasswing, its invitation-only club whose members get access to Mythos, the most cyber-capable of the frontier lab's large language models.

Fraud Management & Cybercrime

Google Sues Chinese Phishing Service Over Gemini Abuse

Tiffany Wang • June 12, 2026

Google has sued a Chinese phishing-as-a-service provider accused of teaching customers to use Gemini to generate and customize scam websites, a campaign linked to more than 1.59 million phishing URLs, over 100,000 victims, and widespread credential and financial theft.

Geo-Specific

German Court: Google Liable for AI Summaries

David Meyer • June 12, 2026

A German court dealt a blow to Google AI-infused search by deciding that the Big Tech firm is liable for defamatory statements in the AI summaries that increasingly dominate its results. The feature purports to only summarize publicly-available content, but it often hallucinates.

Governance & Risk Management

Policy as Code: From Documents to Machine Intelligence

Shobha Jagathpal • June 12, 2026

For decades, policies, standards and procedures have anchored security and compliance governance. But static documents can no longer keep pace with dynamic regulations and frontier technology. Policy as Code transforms them into machine-readable, enforceable, continuously verifiable rules that drive real business...

Fraud Management & Cybercrime

DOJ, FBI Seize 13 Domains in Chinese Recruitment Op

Greg Sirico • June 11, 2026

The Department of Justice and FBI seized 13 websites tied to an alleged Chinese intelligence gathering operation, using fake recruiting firms and deceptive job offers to target current and former U.S. government employees and security clearance holders.

Cyberwarfare / Nation-State Attacks

Vietnamese Digital Spies Look for Domestic Targets

Tiffany Wang • June 11, 2026

Eset linked OceanLotus, also known as APT32, to a supply-chain attack on Vietnam's FireAnt financial platform and a prolonged intrusion into a transport infrastructure company, suggesting the state-aligned threat actor is increasingly focused on gathering intelligence from domestic targets.

Cybercrime

Breach Roundup: CISA Says Agencies Should 'Patch Smarter'

Pooja Tikekar • June 11, 2026

This week, CISA tightened patching rules, hackers provoked AI scanners. An accused Russian intel hacker appeared in court. Microsoft warned of AI-themed attacks. M&S canceled bonuses. France probed a Tchap breach. NHS trusts disclosed stolen data and a Telegram campaign targeted Russian troops.