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Hollywood’s pivot to AI video has a prompting problem

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Hollywood’s pivot to AI video has a prompting problem

It has become almost impossible to browse the internet without having an AI-generated video thrust upon you. Open basically any social media platform, and it won’t be long until an uncanny-looking clip of a fake natural disaster or animals doing impossible things slides across your screen. Most of the videos look absolutely terrible. But they’re almost always accompanied by hundreds, if not thousands, of likes and comments from people insisting that AI-generated content is a new art form that’s going to change the world.

That has been especially true of AI clips that are meant to appear realistic. No matter how strange or aesthetically inconsistent the footage may be, there is usually someone proclaiming that it’s something the entertainment industry should be afraid of. The idea that AI-generated video is both the future of filmmaking and an existential threat to Hollywood has caught on like wildfire among boosters for the relatively new technology.

The thought of major studios embracing this technology as is feels dubious when you consider that, oftentimes, AI models’ output simply isn’t the kind of stuff that could be fashioned into a quality movie or series. That’s an impression that filmmaker Bryn Mooser wants to change with Asteria, a new production house he launched last year, as well as a forthcoming AI-generated feature film from Natasha Lyonne (also Mooser’s partner and an advisor at Late Night Labs, a studio focused on generative AI that Mooser’s film and TV company XTR acquired last year).

Asteria’s big selling point is that, unlike most other AI outfits, the generative model it built with research company Moonvalley is “ethical,” meaning it has only been trained on properly licensed material. Especially in the wake of Disney and Universal suing Midjourney for copyright infringement, the concept of ethical generative AI may become an important part of how AI is more widely adopted throughout the entertainment industry. However, during a recent chat, Mooser stresses to me that the company’s clear understanding of what generative AI is and what it isn’t helps set Asteria apart from other players in the AI space.

“As we started to think about building Asteria, it was obvious to us as filmmakers that there were big problems with the way that AI was being presented to Hollywood,” Mooser says. “It was obvious that the tools weren’t being built by anybody who’d ever made a film before. The text-to-video form factor, where you say ‘make me a new Star Wars movie’ and out it comes, is a thing that Silicon Valley thought people wanted and actually believed was possible.”

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In Mooser’s view, part of the reason some enthusiasts have been quick to call generative video models a threat to traditional film workflows boils down to people assuming that footage created from prompts can replicate the real thing as effectively as what we’ve seen with imitative, AI-generated music. It has been easy for people to replicate singers’ voices with generative AI and produce passable songs. But Mooser thinks that, in its rush to normalize gen AI, the tech industry conflated audio and visual output in a way that’s at odds with what actually makes for good films.

“You can’t go and say to Christopher Nolan, ‘Use this tool and text your way to The Odyssey,’” Mooser says. “As people in Hollywood got access to these tools, there were a couple things that were really clear — one being that the form factor can’t work because the amount of control that a filmmaker needs comes down to the pixel level in a lot of cases.”

To give its filmmaking partners more of that granular control, Asteria uses its core generative model, Marey, to create new, project-specific models trained on original visual material. This would, for example, allow an artist to build a model that could generate a variety of assets in their distinct style, and then use it to populate a world full of different characters and objects that adhere to a unique aesthetic. That was the workflow Asteria used in its production of musician Cuco’s animated short “A Love Letter to LA.” By training Asteria’s model on 60 original illustrations drawn by artist Paul Flores, the studio could generate new 2D assets and convert them into 3D models used to build the video’s fictional town. The short is impressive, but its heavy stylization speaks to the way projects with generative AI at their core often have to work within the technology’s visual limitations. It doesn’t feel like this workflow offers control down to the pixel level just yet.

Mooser says that, depending on the financial arrangement between Asteria and its clients, filmmakers can retain partial ownership of the models after they’re completed. In addition to the original licensing fees Asteria pays the creators of the material its core model is trained on, the studio is “exploring” the possibility of a revenue sharing system, too. But for now, Mooser is more focused on winning artists over with the promise of lower initial development and production costs.

“If you’re doing a Pixar animated film, you might be coming on as a director or a writer, but it’s not often that you’ll have any ownership of what you’re making, residuals, or cut of what the studio makes when they sell a lunchbox,” Mooser tells me. “But if you can use this technology to bring the cost down and make it independently financeable, then you have a world where you can have a new financing model that makes real ownership possible.”

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Asteria plans to test many of Mooser’s beliefs in generative AI’s transformative potential with Uncanny Valley, a feature film to be co-written and directed by Lyonne. The live-action film centers on a teenage girl whose shaky perception of reality causes her to start seeing the world as being more video game-like. Many of Uncanny Valley’s fantastical, Matrix-like visual elements will be created with Asteria’s in-house models. That detail in particular makes Uncanny Valley sound like a project designed to present the hallucinatory inconsistencies that generative AI has become known for as clever aesthetic features rather than bugs. But Mooser tells me that he hopes “nobody ever thinks about the AI part of it at all” because “everything is going to have the director’s human touch on it.”

“It’s not like you’re just texting, ‘then they go into a video game,’ and watch what happens, because nobody wants to see that,” Mooser says. “That was very clear as we were thinking about this. I don’t think anybody wants to just see what computers dream up.”

Like many generative AI advocates, Mooser sees the technology as a “democratizing” tool that can make the creation of art more accessible. He also stresses that, under the right circumstances, generative AI could make it easier to produce a movie for around $10–20 million rather than $150 million. Still, securing that kind of capital is a challenge for most younger, up-and-coming filmmakers.

One of Asteria’s big selling points that Mooser repeatedly mentions to me is generative AI’s potential to produce finished works faster and with smaller teams. He framed that aspect of an AI production workflow as a positive that would allow writers and directors to work more closely with key collaborators like art and VFX supervisors without needing to spend so much time going back and forth on revisions — something that tends to be more likely when a project has a lot of people working on it. But, by definition, smaller teams translates to fewer jobs, which raises the issue of AI’s potential to put people out of work. When I bring this up with Mooser, he points to the recent closure of VFX house Technicolor Group as an example of the entertainment industry’s ongoing upheaval that began leaving workers unemployed before the generative AI hype came to its current fever pitch.

Mooser was careful not to downplay that these concerns about generative AI were a big part of what plunged Hollywood into a double strike back in 2023. But he is resolute in his belief that many of the industry’s workers will be able to pivot laterally into new careers built around generative AI if they are open to embracing the technology.

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“There are filmmakers and VFX artists who are adaptable and want to lean into this moment the same way people were able to switch from editing on film to editing on Avid,” Mooser says. “People who are real technicians — art directors, cinematographers, writers, directors, and actors — have an opportunity with this technology. What’s really important is that we as an industry know what’s good about this and what’s bad about this, what is helpful for us in trying to tell our stories, and what is actually going to be dangerous.”

What seems rather dangerous about Hollywood’s interest in generative AI isn’t the “death” of the larger studio system, but rather this technology’s potential to make it easier for studios to work with fewer actual people. That’s literally one of Asteria’s big selling points, and if its workflows became the industry norm, it is hard to imagine it scaling in a way that could accommodate today’s entertainment workforce transitioning into new careers. As for what’s good about it, Mooser knows the right talking points. Now he has to show that his tech — and all the changes it entails — can work.

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Musk says he’s going to open-source the new X algorithm next week

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Musk says he’s going to open-source the new X algorithm next week

In 2023, what was then still called Twitter, open-sourced at least portions of the code that decided what it served up in your feed. But that GitHub repository is hopelessly out of date, with the vast majority of the files appearing to be from the initial upload three years ago. Elon Musk says that in seven days, he will open-source X’s new algorithm and finally give people a peek behind the curtain and possibly a technical explanation as to why your feed is 90 percent rage bait.

Elon has always made promises to open-source parts of X, and has followed through to at least some degree, including Grok-1 in 2024. But xAI is now on Grok-3, and the Grok GitHub repository hasn’t been updated in two years. The timing of the announcement open-sourcing the X algorithm is also likely to be met with some suspicion, as Musk is fending off criticism from across the globe and the political spectrum regarding Grok’s willingness to make deepfake nudes.

Musk says this release of the X algorithm will include “all code used to determine what organic and advertising posts are recommended to users.” He also says this will be just the first, with updates coming every four weeks, and that those will include developer notes highlighting any changes. Of course, considering how things played out in 2023, you’ll have to forgive us for taking that promise with a grain of salt.

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Covenant Health data breach affects nearly 500,000 patients

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Covenant Health data breach affects nearly 500,000 patients

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When a healthcare data breach is first disclosed, the number of people affected is often far lower than the final tally. That figure frequently climbs as investigations continue. 

That’s exactly what happened with Andover, Massachusetts-based Covenant Health. The Catholic healthcare provider has confirmed a cyberattack discovered last May may have affected nearly 500,000 patients, a sharp increase from the fewer than 8,000 people it initially reported earlier this year. 

A ransomware group later claimed responsibility for the incident, though Covenant Health has not publicly confirmed the use of ransomware. The attackers accessed names, addresses, Social Security numbers and health information, among other sensitive data that could put patients at serious risk.

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UNIVERSITY OF PHOENIX DATA BREACH HITS 3.5M PEOPLE

Covenant Health detected suspicious activity in late May 2025, but investigators later confirmed attackers had already accessed systems days earlier. (Kurt “CyberGuy” Knutsson)

What happened in the Covenant Health breach

Covenant Health says it detected unusual activity in its IT environment May 26, 2025. A later investigation revealed that an attacker had actually gained access eight days earlier, on May 18, and was able to access patient data during that window.

In July, Covenant Health told regulators that the breach affected 7,864 individuals. After completing what it describes as extensive data analysis, the organization now says that up to 478,188 individuals may have been affected.

Covenant Health operates hospitals, nursing and rehabilitation centers, assisted living residences and elder care organizations across New England and parts of Pennsylvania. That wide footprint means the breach potentially touched patients across multiple states and care settings.

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In late June, the Qilin ransomware group claimed responsibility for the attack, Bleeping Computer reported. The group alleged it stole 852 GB of data, totaling nearly 1.35 million files. Covenant Health has not confirmed those figures, but it did acknowledge that patient information was accessed.

According to the organization, the exposed data may have included names, addresses, dates of birth, medical record numbers, Social Security numbers, health insurance details and treatment information such as diagnoses, dates of treatment and types of care received.

700CREDIT DATA BREACH EXPOSES SSNS OF 5.8M CONSUMERS

Qilin ransomware lists Covenant Health on its data leak site. (Bleeping Computer)

What Covenant Health is telling patients

In a notice sent to regulators and patients, Covenant Health says it engaged third-party forensic specialists to investigate the incident and determine what data was involved. The organization says its data analysis is ongoing as it continues identifying individuals whose information may have been involved.

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Then there are the familiar statements every company makes after a breach, claiming they’ve strengthened the security of their IT systems to help prevent similar incidents in the future. Covenant Health says it has also set up a dedicated toll-free call center to handle questions related to the breach.

Beginning Dec. 31, 2025, the organization started mailing notification letters to patients whose information may have been compromised. For individuals whose Social Security numbers may have been involved, Covenant Health is offering complimentary credit monitoring and identity theft protection services.

We reached out to Covenant Health, and the company confirmed the expanded scope of the incident and outlined steps being taken to notify patients and enhance security safeguards.

DATA BREACH EXPOSES 400K BANK CUSTOMERS’ INFO

The breach exposed highly sensitive information, including names, Social Security numbers, medical records and treatment details tied to nearly half a million patients. (Kurt “CyberGuy” Knutsson)

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7 steps you can take to protect yourself after the Covenant Health breach

If you received a notice from Covenant Health, or if your data has been exposed in any healthcare breach, these steps can help reduce the risk of misuse.

1) Enroll in the free identity protection offered

If the organization offers you credit monitoring or identity protection, take it. These services can alert you to suspicious activity tied to your Social Security number, credit file or identity details before real damage is done. If you’re not offered one and want to be on the safer side, you might consider getting one yourself.

Identity theft companies can monitor personal information like your Social Security number, phone number and email address and alert you if it is being sold on the dark web or being used to open an account. They can also assist you in freezing your bank and credit card accounts to prevent further unauthorized use by criminals.

See my tips and best picks on how to protect yourself from identity theft at Cyberguy.com

2) Monitor medical and insurance statements closely

Medical identity theft often shows up quietly. Review an explanation of benefits (EOBs), insurance claims and billing statements for services you don’t recognize. If something looks off, report it to your insurer immediately.

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3) Place a fraud alert or credit freeze

A fraud alert tells lenders to take extra steps to verify your identity before approving credit. A credit freeze goes further by blocking new accounts entirely unless you lift it. If Social Security numbers were exposed, a freeze is usually the safer option.

To learn more about how to do this, go to Cyberguy.com and search “How to freeze your credit.” 

4) Use a password manager

Healthcare breaches often lead to credential-stuffing attacks elsewhere. A password manager ensures every account uses a unique password, so one exposed dataset can’t unlock everything else. It also makes it easier to update passwords quickly after a breach.

Next, see if your email has been exposed in past breaches. Our No. 1 password manager pick includes a built-in breach scanner that checks whether your email address or passwords have appeared in known leaks. If you discover a match, immediately change any reused passwords and secure those accounts with new, unique credentials.

Check out the best expert-reviewed password managers of 2025 at Cyberguy.com.

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5) Be cautious of phishing scams and use strong antivirus software

Breaches are frequently followed by phishing emails, texts or calls that reference the incident to sound legitimate. Attackers may pose as the healthcare provider, an insurer or a credit bureau. Don’t click links or share information unless you verify the source independently.

The best way to safeguard yourself from malicious links that install malware, potentially accessing your private information, is to have antivirus software installed on all your devices. This protection can also alert you to phishing emails and ransomware scams, keeping your personal information and digital assets safe.

Get my picks for the best 2025 antivirus protection winners for your Windows, Mac, Android and iOS devices at Cyberguy.com.

6) Consider a personal data removal service

Once your data leaks, it often spreads across data broker sites. Personal data removal services help reduce your digital footprint by requesting takedowns from these databases. While they can’t erase everything, they lower your exposure and make targeted fraud harder.

While no service can guarantee the complete removal of your data from the internet, a data removal service is really a smart choice. They aren’t cheap, and neither is your privacy. These services do all the work for you by actively monitoring and systematically erasing your personal information from hundreds of websites. It’s what gives me peace of mind and has proven to be the most effective way to erase your personal data from the internet. By limiting the information available, you reduce the risk of scammers cross-referencing data from breaches with information they might find on the dark web, making it harder for them to target you.

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Check out my top picks for data removal services and get a free scan to find out if your personal information is already out on the web by visiting Cyberguy.com.

Get a free scan to find out if your personal information is already out on the web: Cyberguy.com.

7) Review your credit reports regularly

You’re entitled to free credit reports from all major bureaus. Check them for unfamiliar accounts, hard inquiries or address changes. Catching fraud early makes it far easier to contain.

Kurt’s key takeaway

Healthcare organizations remain prime targets for cybercriminal groups because of the volume and sensitivity of the data they store. Medical records contain a mix of personal, financial and health information that is difficult to change once exposed. Unlike a password, you cannot reset a diagnosis or treatment history. This breach also shows how early disclosures often underestimate impact. Large healthcare networks rely on complex systems and third-party vendors, which can slow forensic analysis in the early stages. As investigations continue, the number of affected individuals often climbs.

Do you think healthcare organizations do enough to protect user data? Let us know by writing to us at Cyberguy.com.

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Amazfit’s Active 2 tracker and Blu-rays are this week’s best deals

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Amazfit’s Active 2 tracker and Blu-rays are this week’s best deals

The start of the year is typically a great time to snag deals on health and fitness gear, including trackers and wireless earbuds, and this week was no exception. We found plenty on sale and highlighted the best picks below. Not all of the deals are related to New Year’s resolutions, though; there are also a number of other worthwhile deals worth checking out. Despite the Consumer Electronics Show wrapping up earlier this week, we’re already seeing deals roll in, for example. And if your main goal is to unwind this weekend, we’ve spotted solid deals on Blu-rays to help you relax. Below, you’ll find all of our favorite deals from this week.

Of fitness trackers on sale right now, the deal on the Amazfit Active 2 is ideal, especially if you’re on a budget. It’s currently on sale for just $84.99 ($15 off) at Amazon, Best Buy, and Target, which is just $5 shy of its lowest price to date.

​​We think the Active 2 is one of the best fitness tracker you can currently buy, namely because it offers a feature set you don’t typically don’t find at this price point. It covers most of the health and fitness features people need and then some, with continuous heart rate and blood oxygen tracking, in addition to menstrual cycle tracking. You also get offline maps with turn-by-turn navigation and up to nine days of battery life — far longer than most smartwatches. It looks stylish, too, thanks to its stainless steel case and 2,000-nit OLED display that makes it seem more expensive than it is.

What makes the latest Nano Charger stand out from previous models its built-in display, which shows real-time charging details like power flow, charge level, and temperature at a glance. If you have an iPhone 15 or newer — or an iPad Pro released in 2020 or later — it can also adjust charging based on the device’s power needs. What’s more, it delivers up to 45W of power in a compact design with folding prongs that rotate 180 degrees, allowing you to squeeze it into smaller spaces.

Three more of this week’s best deals

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