OpenAI employee arrested for planting bug, and Microsoft patches record 1,411 security vulnerabilities
An employee at OpenAI was arrested and charged with using a hidden recording device in one of the company’s San Francisco offices, according to statements from the artificial intelligence company and the US Justice Department.
Abdulrahman Alfozan, a Saudi Arabian national, was arrested on 9 October, more than a week after OpenAI staffers discovered an audio recording device in the back of a television in an executive conference room, the Justice Department said.
Meanwhile, Patch Tuesday was on 13 October 2026, and Microsoft released security updates addressing a record-breaking 1,411 security vulnerabilities.
The security fixes included one for an actively exploited vulnerability and two publicly disclosed zero-days.
In global markets, stocks gained and the dollar weakened before a key US inflation report that may reveal whether the Federal Reserve can take a less aggressive approach to raising interest rates next year. Oil advanced.
MSCI’s Asia Pacific equities index rose 0.5%, rebounding from two days of losses that pushed the gauge to its lowest close since August.
Earlier, the S&P 500 Index pared declines after New York Fed President John Williams said he saw no need for further tightening in 2027, though one more rate hike this year may be appropriate.
Some caution crept back into markets as futures for the Nasdaq 100 Index and European stocks pared gains after chip-equipment maker ASML Holding NV said it can’t fully meet demand for the next two years. The company also upgraded the low end of its 2026 sales forecast.
Elsewhere, Brent crude rose 0.6% to $106.30 a barrel as a flare-up in Middle East attacks increased uncertainty over a recovery in energy shipments from the Persian Gulf. US crude advanced for a fifth day.
While Williams’ comments offered some relief ahead of the consumer price index numbers, markets remain concerned that elevated oil prices due to geopolitical conflicts may keep price pressures elevated.
Traders are also looking to corporate earnings for clues on the direction of the artificial intelligence trade, which has come under pressure amid doubts that billions of dollars in spending will deliver commensurate returns.
Swaps are pricing in less than a 25% chance of a rate increase in October.
Meanwhile, Treasuries broadly held their gains from Tuesday, with the benchmark 10-year yield at 5.20%, as traders looked ahead to Wednesday’s US CPI for further clues about the path of interest rates.
The dollar weakened against all its Group-of-10 peers, with Bloomberg’s gauge of the currency dropping for a second day. Gold steadied around $4,160 an ounce.
Meanwhile, the CSI 300 Index fell 0.3%, pushing Chinese stocks closer to a bear market. Scepticism is growing about the prospect of a heavy dose of support measures to revive the economy and investor confidence.
The benchmark has fallen more than 15% from its June peak, and is at the lowest level since August 2025. The key event for Wednesday, though, is the US inflation data.
CPI is seen rising 0.6% after a 0.4% increase a month earlier, based on the median projection in a Bloomberg survey of economists ahead of the Bureau of Labor Statistics release.
That would mark the largest advance in five months. A reading above the estimate may prompt traders to add to Fed rate-hike expectations.
In cryptocurrencies, Bitcoin was little changed at $83,417.76, whereas Ether fell 0.2% to $2,503.07. [Bloomberg]
5 things happening in tech around the world
OpenAI employee arrested for planting bug in office: Abdulrahman Alfozan, a Saudi Arabian national, was arrested on 9 October, more than a week after OpenAI staffers discovered an audio recording device in the back of a television in an executive conference room, the Justice Department said on Tuesday. [BBC]
Microsoft patches record 1,411 security vulnerabilities: Patch Tuesday was on 13 October 2026, and Microsoft released security updates addressing a record-breaking 1,411 security vulnerabilities, including one actively exploited and two publicly disclosed zero-days. [BleepingComputer]
Developer who AI-cloned Adobe Suite sets sights on Microsoft 365: Brandon Thomas, who used AI to replicate the Adobe Suite, has created open-source versions of Microsoft Word, Excel, and PowerPoint. [Windows Central]
Google allows people to privately list vibe-coded apps on Play Store: Anyone with a Google account who is 18 or older can upload Android apps created with Google AI Studio to the Play Store. Google plans to eventually allow vibe coders to share their personal app with a small group of users, such as friends and family. [Engadget]
Netflix wins FIFA World Cup rights in Spain and Andorra: Netflix secured the streaming rights for the 2030 FIFA World Cup in Spain and Andorra. Morocco, Portugal, and Spain will host the event. Netflix will show all 104 matches throughout the event and make one match available per day to national broadcasters to comply with local laws. This includes every game Spain plays, as well as the semi-finals and the final. [Engadget]
