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Conservative Activist Robby Starbuck Sues Google Over Defamatory AI ‘Hallucinations’

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Conservative activist Robby Starbuck has filed a lawsuit against Google, accusing the company’s artificial intelligence systems of generating and spreading false and defamatory claims about him, including labeling him a “child rapist,” “serial sexual abuser,” and “shooter.”

The complaint, filed in Delaware state court, alleges that Google’s Bard and Gemma chatbots produced fabricated statements that reached millions of users, citing non-existent sources and failing to correct errors after being notified. Starbuck is seeking at least $15 million in damages.

A Google spokesperson, Jose Castaneda, acknowledged that the allegations stem from AI “hallucinations” — a known issue with large language models (LLMs) where systems generate false or misleading information. “We disclose this issue and work hard to minimize it,” Castaneda said. “But as everyone knows, if you’re creative enough, you can prompt a chatbot to say something misleading.”

Starbuck, a vocal critic of diversity, equity, and inclusion (DEI) policies, said the false claims have caused reputational damage and personal safety risks. “No one — regardless of political beliefs — should ever experience this,” he said. “We must demand transparent, unbiased AI that cannot be weaponized to harm people.”

The lawsuit details how, in December 2023, Bard falsely linked Starbuck to white nationalist Richard Spencer using fabricated citations. Later, Google’s Gemma chatbot allegedly repeated similar falsehoods, accusing Starbuck of spousal abuse, participation in the January 6 riots, and even appearing in Jeffrey Epstein’s files.

Starbuck said these false claims have led to harassment and threats, citing the recent assassination of conservative activist Charlie Kirk as evidence of escalating risks for public figures.

This is not Starbuck’s first legal battle with Big Tech. He previously sued Meta Platforms over similar AI-generated falsehoods earlier this year; the two parties settled in August, and Starbuck has since advised Meta on AI ethics and accuracy.

The case highlights growing concerns over AI defamation risks and the legal responsibilities of tech companies deploying generative models capable of producing false, reputationally damaging statements.

EssilorLuxottica shares hit record high as Meta AI glasses fuel investor optimism

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Shares of EssilorLuxottica (ESLX.PA) soared 14% on Friday, reaching an all-time high and adding nearly $20 billion in market value, as enthusiasm over its AI-powered Ray-Ban Meta smart glasses surged among investors.

The Paris-listed eyewear giant, founded by Leonardo Del Vecchio, reported third-quarter sales up 11.7% year-on-year to €6.9 billion ($8.1 billion), marking its strongest quarterly performance ever. The results exceeded analyst expectations, buoyed by growing demand for smart and wearable technologies.

Although the Ray-Ban Meta smart glasses currently account for only a small portion of EssilorLuxottica’s total revenue, they have become a major growth catalyst. Chief Financial Officer Stefano Grassi said the AI-enabled glasses contributed over four percentage points to sales growth, prompting the company to expand production capacity ahead of schedule.

“The exponential growth of wearables provided an extra boost to top-line performance,” EssilorLuxottica said.

Barclays analysts predicted that smart glasses could become the most disruptive innovation since smartphones, forecasting sales of 60 million units globally by 2035.

The stock’s surge marked the biggest daily gain since 2008, lifting the company’s market capitalization to €126.5 billion and driving the Stoxx Europe Luxury 10 Index up more than 7% on the week.

Priced between $379 and $799, the latest Ray-Ban Meta models feature built-in displays and generative AI capabilities. Expansion to Canada, France, Italy, and the UK is planned for early 2026.

Analysts at J.P. Morgan called the glasses a “material growth driver,” while Equita raised its annual wearables forecast, estimating the category could contribute around €1 billion to sales this year.

Oracle forecasts $166 billion in cloud revenue by 2030 as AI demand fuels growth

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Oracle (ORCL.N) expects its cloud infrastructure business to soar to $166 billion in annual revenue by fiscal 2030, nearly three-quarters of its total projected sales, as the company capitalizes on surging demand for artificial intelligence and cloud computing.

The forecast, unveiled by CEO Clay Magouyrk during a meeting with analysts, signals Oracle’s growing confidence that its cloud business will continue to expand well beyond its current customer base, which includes OpenAI and Meta Platforms.

CFO Dough Kehring said Oracle anticipates total revenue of $225 billion and adjusted earnings of $21 per share by 2030, outpacing Wall Street expectations of $198.4 billion in sales and $18.92 per share in profits, according to LSEG data.

The company’s cloud infrastructure bookings have ballooned, with Oracle reporting a $65 billion surge in new commitments over a single month last quarter — including a $20 billion deal with Meta. Magouyrk emphasized that the new commitments came from multiple clients, not just OpenAI.

In its most recent quarter, Oracle’s cloud revenue jumped 28% to $7.2 billion, underscoring rapid adoption of its AI and enterprise cloud services.

While the company’s gross margins are expected to fluctuate as it scales its infrastructure business, Oracle said its AI cloud margins will remain in the 30–40% range, while traditional enterprise cloud segments will maintain between 65% and 80% margins.

Oracle shares rose 3% after the forecast, though they dipped slightly in after-hours trading.