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AI NewsOpenAI abandons yet another side quest: ChatGPT’s erotic mode

OpenAI abandons yet another side quest: ChatGPT’s erotic mode

1:25 AM IST · March 27, 2026

OpenAI abandons yet another side quest: ChatGPT’s erotic mode

OpenAI has put the kibosh on yet another project — at least for the time being. On Thursday, the Financial Timesreported thatthe AI company would be “indefinitely” pausing plans to develop an “erotic” mode for ChatGPT. The proposed “adult mode,” which CEO Sam Altman first floated in October, had inspired considerable controversy fromtech watchdog groupsas well as fromOpenAI’s own staff. In January, a meeting between company executives and its council of advisers got heated, with one of the advisers cautioning that OpenAI could be in the process of developing a “sexy suicide coach,” The Wall Street Journalpreviously reported. Amidst all of the criticism, the release of the feature wasdelayed multiple times. FT notes that the erotic feature now has no timeline for release. When reached for comment by TechCrunch, an OpenAI spokesperson said the company had “nothing further to add.” Adult mode is only the latest side quest that OpenAI has abandoned over the past week as the AI giant consolidates its focus. On Tuesday, the company quietly announced that it would bedeprioritizing Instant Checkout, a feature within ChatGPT that had sought to make the chatbot a purchase portal where users could buy items from e-commerce websites. Then, on Wednesday, the company surprisinglyannounced thatit would be shutting down Sora, its AI video generator. Sora had been criticized forinspiring the deluge of AI “slop”that has flooded the internet since its launch in 2024. All of the changes come approximately a week after The Wall Street Journal reported that OpenAI would be engaging in a “major strategy shift” to pivot the company away from distractions so that it could zero in on its primary focuses: business users and coders. Why has OpenAI chosen this particular moment to do away with the distractions and lock in? Perhaps it’s because it’s been feeling the heat from Anthropic, which has been tenaciously releasing a series of coding and business tools over the past few months — and has seensubstantial success in wooing customersas a result. The two companies have also been openlyfeudingover Pentagon contracts — a battle OpenAI appears to have won. Three weeks ago, itannounced a $200 million agreementwith the Department of Defense, while Anthropic is nowlocked in a legal battlewith the agency. In short, it would appear that, if recent developments tell us anything, the future of AI is probably less about porn and memes and more about business and war.

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Gemini’s personalized AI image generation is now free for US users

Gemini’s personalized AI image generation is now free for US users

Googleannouncedon Monday that the Gemini app is now offering its personalized Nano Banana-powered image generation feature to a broader audience. Starting today, all eligible users in the U.S. can access the feature for free, a service that waspreviously only availableto Plus, Pro, and Ultra subscribers. Google initially announced that Gemini’s Personal Intelligence feature would get Nano Banana-powered image generation back in April, allowing users to create images that reflect their unique interests. This means that images can be generated based on Gemini’s understanding of your likes and preferences without you having to specify them in your prompt. Gemini utilizes data from your Google account connections — such as Gmail, Google Photos, YouTube, and Search — to achieve this. For example, instead of saying, “Create an illustration of me and my favorite things, such as coffee and baking,” you can simply request, “Create an illustration of me and my favorite things.” Gemini can also pull actual images of you from Google Photos, so you don’t need to manually upload photos. Google initially rolled out the Personal Intelligence feature earlier this year, making itwidely availableto all U.S. users in March. The company recentlyexpandedthis functionality to users in India and Japan. Personal Intelligence is an opt-in feature, allowing you to decide which apps Gemini can access. Once enabled, it is set as the default for every prompt, but you can disable it using a new toggle in the Tools menu. Additionally, last month, Googleannouncedseveral upcoming updates for the Gemini app, including a new “Daily Brief” feature, a revamped interface, access to AI video model Gemini Omni, and a personal AI agent named Gemini Spark. Notably, Google’s AI chatbot Gemini surpassed 750 million monthly active users (MAUs) earlier this year, reinforcing its position as a major player in the AI space.

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TIDAL cracks down on AI music by cutting off monetization

TIDAL cracks down on AI music by cutting off monetization

Music streaming serviceTIDALis the latest to take aim at AI-generated music with the introduction ofa new policythat will prevent fully AI-generated music from making money on its platform. In addition, TIDAL will use automated tools to remove AI-generated music that attempts to impersonate an artist or a group, the company said. “We are committed to protecting and rewarding organic creativity to avoid compromising an artist’s ability to connect with and build their fandom from TIDAL subscribers. Many have told us they do not want to be exposed to — or prompted to listen to — wholly AI-generated music,” wroteTonyGervino, TIDAL EVP and editor-in-chief, in anannouncement. He clarified that TIDAL’s new policy was not meant to “bash technological advancement,” but rather focuses on protecting and rewarding “organic creativity” from artists. With the changes, fully AI-generated music on TIDAL will be identified and tagged as such, allowing listeners to see an “AI” badge next to any tracks deemed to be 100% AI. These tunes will not be able to be monetized or collect royalties, and will not be eligible for direct-to-fan sales, the company noted. TIDAL’s policy joins others in the streaming music space, where services like Spotify, Apple Music, Deezer, andQobuzhave developed their own policies to address the growing number of AI-generated tracks filling their services. Spotify last yearrevamped its policies to label AI musicand better filter spam, while still acknowledging that AI tools would be used in the music-creation process to varying degrees. Apple Music alsotook the tagging approach. Deezer, which said that44% of all new musicuploaded to its platform daily is AI-generated, has taken a tougher position. It actively removes AI tracks from recommendations and excludes them from editorial playlists. It alsooffers its AI-detection technology to rivalsandprovides a consumer-facing toolthat lets you see if AI music has slipped into your playlists on competing services. TIDAL’s policy could be an interesting test to see if demonetization could be the thing to slow the deluge of AI music, which many listeners aren’t interested in. “Regardless of what you are reading elsewhere, AI’s takeover of the music industry (and your recommendations) isn’t inevitable if we take even greater steps now to monitor and control it,” noted Gervino. The company said the new policy is a “living document,” meaning it’s open to changes as the space evolves. It goes into effect on July 15, 2026.

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Cursor now has a mobile app for guiding your coding agent on the go

Cursor now has a mobile app for guiding your coding agent on the go

Cursor isn’t lettingthe $60 billion SpaceX acquisitionslow it down. On Monday, the companyannounceda new mobile appfor iOSdevices designed for users who want to prompt coding agents directly from their phone. The app ties into the Cursor 2.0 changesunveiled in October, which shifted the service towards independent coding agents. With the mobile app, users can spin up new coding agents or interact with agents that were initiated from the desktop client. Cursor’s move to mobile follows similar apps from Anthropic and OpenAI, both of which offer ways to interact with their coding tools on mobile. It’s part of a broader shift in AI-based coding tools, which are increasingly abstracting away from written code and towards oversight of code-writing agents. With no need to access large code bases, many developers are switching away from multi-monitor desktop setups in favor of phones, which allow continuous conversations with remote agents. In a recent talk, Anthropic’s head of Claude Code, Boris Cherny, said he had almost entirely switched to mobile AI coding as a result. “Most of my coding now is on my phone,” Cherny said in the talk. “I would have said ‘you’re crazy’ if you told me that six months ago, but yeah, here we are.”

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Arena, the AI leaderboard everyone uses, is now a $100M business

Arena, the AI leaderboard everyone uses, is now a $100M business

Just eight months after launching its commercial service, AI leaderboard providerArena, which originated as a research project at UC Berkeley in 2023, has reached $100 million in annualized run-rate revenue. Arena is best known for its popular crowdsourced AI model performance leaderboard, generated from over 10 million user evaluations. Its consumer website lets a user type a prompt it sends to two models; afterwards, the user chooses which model did a better job. While Arena’s popular AI model leaderboard is free for public use, the company began generating revenue from its platform in September when it introducedAI Evaluations, a service that provides model labs and enterprises with deep-dive performance analytics gathered from its community. Arena’s rapid revenue growth shows that its commercial offerings are as popular with customers as they are with its community of evaluators, who are frequently drawn to the platform for early access to the latest, often unreleased, AI models. “A lot of people don’t even understand that our business is making any money at all; people still see us as like an open-source project,” Anastasios Angelopoulos, Arena’s co-founder and CEO, told TechCrunch. While Arena calls its revenue milestone ARR, a term that traditionally stood forannualized recurring revenue, Angelopoulos clarified that the company charges customers for “consumption,” which means that its revenue is not recurring. While Arena doesn’t have direct competitors – Yupp, another crowdsourced AI model-picking startup,shut downin March— Angelopoulos said the company competes “for the same dollar” with human labeling startups like Mercor, Surge, and Scale AI, all of which assist model makers in refining their AI during post-training. As AI providers strive to maximize model performance, their appetite for post-training refinement services continues to surge. When Arena announced in January that it raised a $150 million Series A at a post-money valuation of $1.7 billion, its annualized revenue was$30 million. Elsewhere, Handshake’s gross annualized revenue from AI training has nearly doubled since January, climbing from $550 million to nearly $1 billion, The Informationreportedin April. Mercor’s annualized revenue also topped $1 billion earlier this year, up from $500 million last September,accordingto The Information. Arena ranks models on a variety of tasks such as text, coding, vision, and image generation, as well as complex, long-running workflows through its recently introduced Agent Mode. Along with Angelopoulos (pictured left), Arena was co-founded by fellow UC Berkeley postdoctoral student Wei-Lin Chiang (pictured center), who serves as the startup’s CTO. The startup was also co-founded by Ion Stoica (pictured right), the renowned UC Berkeley professor and Databricks co-founder who advised the project before it incorporated as a company in April 2025. Arena has raised a total of $250 million from investors including Felicis, Andreessen Horowitz, The House Fund, LDVP, Kleiner Perkins, Lightspeed Venture Partners, Laude Ventures, and UC Investments.

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