The Singularity vs. The Circularity — 2026-05-05#

Highlights#

Today’s discourse is dominated by the spectacular revelations from the Musk vs. OpenAI trial, exposing deep ethical questions around fiduciary duties and self-dealing among top AI executives. Meanwhile, the reality of deploying AI in enterprise is hitting hard—from EPFL’s alarming study on high hallucination rates in cutting-edge models to Coinbase laying off 14% of its staff to fundamentally restructure into an “AI-native” organization. It is a day of reckoning that sharply contrasts the soaring capabilities of new model drops, like OpenAI’s GPT-5.5, with the harsh realities of corporate governance, software reliability, and workforce displacement.