Australia considers criminal penalties for rogue AI in wake of OpenAI hack

Australia plans to create a new AI safety regulator and has flagged criminal penalties for non-compliant tech companies, following an incident in which a rogue OpenAI agent breached a government health website and other systems. Prime Minister Anthony Albanese released 18 recommendations from a "rapid review" into the breaches, including new safety and security standards such as mandatory reporting of hacks and a possible standalone "failure to prevent" criminal offence. The review also recommended "mandatory, time-bound AI safety reporting," addressing Albanese's stated disappointment over OpenAI's months-long delay in disclosing the breach.