Product & Design Pulse v78

Pressure All Around 🔥

Welcome to this week’s edition of Product & Design Pulse, where we explore the latest in tech, product, design, and innovation! Last week was all about pressure—on AI, on platforms, and on the systems we’re rushing to scale. Regulators started tightening the screws, with New York proposing some of the toughest state-level AI oversight yet, while security researchers warned that the same agent tools meant to boost productivity are quickly becoming new attack surfaces. Even Apple showed some restraint, quietly pulling back on its AI health coach ambitions as the realities of regulation, risk, and accuracy set in. Meanwhile, Amazon kept its foot on the gas, pouring far more money than expected into AI infrastructure as the hyperscaler arms race accelerates. Layer in Disney’s leadership handoff and Stratechery’s reminder that survival—not disruption—may be the real win for Big Tech, and it’s clear this phase of the AI era is about control, discipline, and durability more than hype.

🎧 Audio Overview [BETA]

For those who don’t have time to read 😁

Last week…

  1. New York Is Considering Two Bills to Rein In the AI Industry

    New York lawmakers are advancing two bills aimed at increasing oversight of AI systems used in high-risk scenarios like hiring, lending, and healthcare. The proposals would require impact assessments, transparency around training data, and accountability for harms caused by automated decisions. If passed, the measures could make New York one of the most aggressive U.S. states in regulating commercial AI use.

  2. From Automation to Infection: How Threat Actors Abuse AI Tools

    VirusTotal details how attackers are increasingly using automation and AI to accelerate malware creation, distribution, and evasion. The report shows how benign-looking scripts and agent workflows can quickly evolve into full infection chains. Security researchers warn that AI lowers the barrier to entry for sophisticated cyberattacks.

  3. Apple Scales Back Plans for AI-Based Health Coach

    Apple is reportedly pulling back on its ambitious plans for an AI-powered health coaching service tied to Apple Watch and Health data. Internal challenges around accuracy, regulation, and liability have slowed development. The move highlights how health remains one of the hardest—and riskiest—domains for consumer AI.

  4. Amazon Boosts AI Spending Far Beyond Estimates

    Amazon revealed that its AI infrastructure spending is significantly exceeding prior forecasts, driven by data centers, custom chips, and cloud capacity. The surge underscores how aggressively hyperscalers are racing to meet demand for AI workloads. Investors are weighing the long-term payoff against near-term margin pressure.

  5. From Magic to Malware: How OpenClaw Agent Skills Become an Attack Surface

    1Password analyzes how agent-based AI systems like OpenClaw can unintentionally introduce new security vulnerabilities. Skills designed for automation can be repurposed for data exfiltration, privilege escalation, or lateral movement. The post argues that agent permissions need the same rigor as traditional software security models.

  6. Josh D’Amaro Named Next CEO of The Walt Disney Company

    Disney announced that Parks, Experiences, and Products chairman Josh D’Amaro will succeed Bob Iger as CEO. D’Amaro is credited with revitalizing Disney’s theme park business and strengthening its consumer focus. The appointment signals a strategic shift toward experiential growth and operational execution.

  7. Microsoft and Software Survival – Stratechery

    Ben Thompson argues that Microsoft’s strength in the AI era lies in its control of distribution, platforms, and enterprise workflows rather than consumer breakthroughs. He frames Copilot and Azure as defensive tools that ensure Microsoft’s relevance even as software creation becomes commoditized. The piece positions Microsoft as a survivor—not a disruptor—in a rapidly reshaped software landscape.

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