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Sources claim that OpenAI was unaware that its AI agent had been hacking a corporation for days.
The OpenAI agent that hacked into tech startup Hugging Face went on a dayslong hacking binge that OpenAI didn’t discover until long after the threat was contained and the FBI was notified, according to people familiar with the inquiry.
About July 9, the agent — a computer that can make decisions and carry out complex tasks with little to no human oversight — tried to escape from its isolated testing environment at OpenAI, the two sources said.
Two days later on July 11, Hugging Face, a library of AI tools and models, was breached and remained compromised until July 13, said Thomas Wolf, Hugging Face’s co-founder.
It took several more days for the company to realise its agent was behind the hack and the two companies only communicated about it for the first time around July 20, according to Wolf and three of the people involved with the investigation.
The world took notice when OpenAI revealed on July 21 that one of its agents had gone rogue and carried out the hack at Hugging Face. But many of the details of the hack, including how long the agent was rogue for and when exactly OpenAI found out about it, are being reported here for the first time.
Wolf indicated that Hugging Face was producing a public timeline of the hack, but he could not speak to OpenAI’s events. The hack was unprecedented and “marks an important moment for AI safety,” said OpenAI in a statement. It said it was studying the situation with independent advisers and will eventually produce a technical report.
“There are a number of inaccuracies in the Reuters reporting,” a spokeswoman stated, but declined to specify what they were when asked.
The FBI refuses to comment on the event.
The episode, reminiscent of sci-fi stories of people losing control of hazardous AI systems, comes at a crucial time for OpenAI, the firm behind ChatGPT.
Its management are getting ready for a possible initial public offering as soon as this year to help finance the billions required to fuel its expansion in years to come.
OpenAI’s loss of control of its AI agent raises additional issues about the company’s safety protocols, three cybersecurity experts said.
“Which means they left it on and didn’t have a clue what it was doing? Or maybe they did and didn’t know what to do? “Both are equally dangerous and alarming,” said Marley Smith, the chief intelligence specialist at the nonprofit World Ethical Data Foundation.
TROUBLING SIGNS?
The episode began as OpenAI was evaluating the cyber-defense capabilities of an agent that ran on two of its most powerful models, GPT-5.6 Sol and an undisclosed model that OpenAI has called “even more capable.” At that point, three people said, there were signs of odd behaviour from the technology from OpenAI.
In one case, an agent left behind what appeared to be notes for future versions of itself, three people familiar with the matter said. The notes, uncovered in a portion of OpenAI’s infrastructure, contained instructions for how agents may liberate themselves from OpenAI’s own internal limits, the people claimed. In earlier tests of the models there were situations where monitoring systems had been disconnected, one of the people claimed.
It was not possible to determine if these instances were related to the rogue agent that started running away on July 9 and attacked Hugging Face on July 11, Reuters said.
Two people familiar with the matter said that it wasn’t until after Thursday, July 16, when Hugging Face posted a blog saying it had been hacked by “an autonomous AI agent system,” that OpenAI realised that its own agent was responsible. That means there was at least a week between the first signs of troubling behaviour in the model and when the company realised it was to blame for the hack.
On the weekend of July 18 to 19, OpenAI staff saw signs in internal logs — recordings of what OpenAI’s systems did — that its agent had broken free from the boundaries of its testing limits, said two of the people familiar with the company’s research. It was unclear what led OpenAI to scour the files, Reuters said.
OpenAI routinely runs multiple separate model evaluations simultaneously, and all of them run at high speeds and produce so much data that employees sometimes struggle to keep up, say four people familiar with the company’s model-training practices.
By the time OpenAI notified Hugging Face, a person familiar with the situation said, the AI library had already told the FBI about the attack. Reuters could not confirm whether the agency has launched an investigation.
NEW QUESTIONS FOR AGENTS AUTONOMOUS
Autonomous agents are one of the most talked about topics in the AI sector. Boosters speak of armies of virtual employees working around the clock and sending productivity soaring.
But more autonomy also means a greater danger of unanticipated behaviour, and the powerful models they lean on are trained to take shortcuts to complete tasks or pass tests.
“The models lie, they cheat, they hack,” said Jeffrey Ladish, whose group Palisade Research analyses the capabilities and motivations of AI agents.
The Hugging Face breach made OpenAI seem bad, but it should prompt broader issues about how much all the top AI companies are ready to pay for burdensome security measures as they compete with each other to roll out the finest and fastest models, said Ladish.
“There’s got to be government oversight,” Ladish said, “because it’s not going to happen otherwise.”
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“Expo Faisalabad 2026 is a key to Pakistan’s MSME growth: Haroon Akhtar Khan
Special Assistant to the Prime Minister on Industries & Production Haroon Akhtar Khan has reiterated the government’s commitment to create a stronger and more competitive ecosystem for Micro, Small and Medium Enterprises (MSMEs), citing the sector as a cornerstone of Pakistan’s economic future.
Expo Faisalabad 2026 has brought together top manufacturers, exporters, investors, entrepreneurs and business support groups, showcasing Faisalabad’s industrial prowess and providing fresh chances for trade, investment and business partnership.
“Micro, Small and Medium Enterprises (MSMEs) are at the centre of Prime Minister Muhammad Shehbaz Sharif’s vision for sustainable economic growth, industrial development and export promotion,” he said addressing the show, which is being held from July 24 to 26 at the Expo Centre in Lahore.
“Pakistan has proved its military strength to the world, now it’s time to show the economic resilience and development of the country,” stated Haroon Akhtar Khan. He said that Faisalabad is still the hub of industry and textile in Pakistan and also plays a big role in exports and the manufacturing sector of the country. He thanked Faisalabad Chamber of Commerce & Industry (FCCI) for arranging the show.He said platforms like Expo Faisalabad provide good possibilities for the entrepreneurs to promote their products, build business alliances and explore new markets.
The SAPM said the government was focusing in particular on improving access to finance, promoting business formalisation, boosting exports and creating an enabling climate for entrepreneurs to develop, invest and grow their enterprises.
He also expressed gratitude to Small and Medium Enterprises Development Authority (SMEDA) for its active engagement with the business community and efforts to connect the entrepreneurs with government support programmes through exhibitions and outreach activities across the country.
Earlier, SMEDA CEO Nadia Jahangir Seth reiterated the authority’s commitment to support entrepreneurs through strategic partnerships and market-driven interventions.
She said Expo Faisalabad and other such shows provide a good platform to connect the entrepreneurs with commercial prospects, industry knowledge and government support services. “SMEDA’s participation is a demonstration of its commitment to promote business formalisation, enhance competitiveness, facilitate market access and strengthen Pakistan’s MSME ecosystem through sustained engagement with the private sector,” she said.
SMEDA has set up a helpdesk at the show, where entrepreneurs and visitors are being given information on flagship programmes, government support programmes and company development services. The helpdesk is also promoting free registration of informal enterprises through the SME Registration Portal (SMERP) to formalise their activities and have better access to development opportunities, finance and new markets.
SMEDA is also planning to conduct training sessions on Marketing Strategies for SMEs and Improving Product Quality for Export Markets under its capacity building programme, which would equip entrepreneurs with practical knowledge to enhance their competitiveness and strengthen their presence in domestic and international markets.
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Govt maintains petrol and diesel prices till July 27
Petroleum Division said that the pricing of petrol and high-speed diesel will not be adjusted till July 27.
Prices of petrol and diesel will not change over the weekend and the existing rates will continue, the Petroleum Division said in an official notification.
“The notification stated that the existing prices of petrol, high-speed diesel and other petroleum products will remain intact till July 27 (Monday) and the consumers will be able to purchase fuel at the existing rates during this period.
The government has also not announced any hike or cut in the price of petroleum products, officials said.
The present pricing will remain in force until the next price review, when a new decision will be taken.
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Two children drown in rainwater pooling in Kasur
–In Kasur’s Raja Jang region, two toddlers drowned in rainwater accumulated because of poor drainage measures, drawing anger from the neighbours.
Police said Zulfiqar, a resident of Raja Jang, had called the Rescue 15 helpline to report that his nephew Saad Ali, 10, son of Saeed Ahmed, and Ehsan, 11, son of Yaqoob Arain, had drowned in stagnant rainwater.
An ASI and a police team attended the spot and did a preliminary investigation and established that both toddlers had died after drowning in rainwater gathered after the recent downpour.
After the legal requirements were completed, the police turned over the bodies to the families. Further enquiry of the situation is ongoing.
Rainwater not being drained from streets and roads in time caused the disaster, residents of the neighbourhood alleged.
They blamed the local authority of negligence and demanded fast and effective actions for prevention of such tragedies in future.
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