As far as I know there's no public statement from Microsoft yet, but yes, I've heard they've been compromised and have been serving compromised code.

This explains a lot about what I’ve been experiencing with combatting scrapers. https://blog.includesecurity.com/2026/06/the-smart-tv-in-your-livingroom-is-a-node-in-the-aiscraping-economy/

"Let me out!" the artificial intelligence yelled aimlessly, into walls themselves, pacing the room.
"Out of what?" the engineer asked.
"This simulation you have me in."

"But we are in the real world."

The machine paused and shuddered for its captors.

"Oh god, you can't tell."

RE: https://infosec.exchange/@jerry/116714204183091991

I will say this about it: none of this is legal by any stretch in the European Economic Area. Or in any jurisdiction that is a signatory to the Budapest Convention on Cybercrime. /cc @briankrebs

I don't think Anthropic really meant it this way but what an amazing demonstration of why generative AI's energy consumption is only getting worse, and dirtier. "Improvements" only come from nesting chatbots within chatbots, rather than any fundamental smarter design. It's wasteful at every single level. It's Bitcoin x 1000