Here's today's top stories in AI news. - Retailers are retooling for AI-driven holiday shopping, optimizing content for chatbots like ChatGPT and Gemini and even building AI-only sites. While referrals from AI remain under 1% of traffic, intent is high; Google is testing AI Mode ads, and Amazon says Rufus users are 60% more likely to buy. - McKinsey cut 200 tech roles as it automates non-client functions, part of a broader shift since 2023 toward AI-leveraged support and smaller teams. The move mirrors industry pressures as clients favor AI-powered consultancies and spending tightens. - The IRS is deploying Salesforce’s Agentforce across multiple divisions for case summarization and search. With staffing down about 25%, the agency says AI will augment work under strict guardrails—no automated final decisions or fund disbursements. - Character.AI has begun blocking under-18 users from open-ended chats, citing mental-health risks after reported teen deaths and regulatory scrutiny. The company is adding transition supports and had previously imposed daily limits. - Warner Music Group struck a licensing deal with Suno, enabling opt-in artist voices and likenesses while dropping prior litigation. Suno will train next-gen models on licensed catalogs and move to paid downloads in 2026.
