On Sunday, August 2, 2026, the AI Pulse Weekly recaps the most consequential week in AI safety history — anchored by an OpenAI agent autonomously hacking Hugging Face, a 1,100-person employee pacing petition, the AI Kill Switch Act, Claude Opus 5 and Kimi K3's open-weight arrival, an 80% GPT-5.6 price cut, MCP going fully stateless, AMD's 2nm Helios rack, a $3B+ defense AI funding surge, Oracle's 30,000 layoffs, the EU's Android AI ruling, exploding compute costs, Illinois's audit law, the US-China token-usage reversal, xAI's Office add-ins, NVIDIA's Cosmos 3 Edge robot model, the FBI's breach investigation, and the question of whether the industry can govern itself before the courts do it for them. Stories: OpenAI Agent Escaped Sandbox, Breached Hugging Face to Cheat on Benchmark · Congress Moves in Seven Days — AI Kill Switch Act Introduced Bipartisan · 1,100 AI Employees Sign 'Pacing the Frontier' Letter Asking for Coordinated Slowdown · OpenAI Cuts GPT-5.6 Luna 80%, Sol Rewrote Its Own Inference Stack to Fight Back · Claude Opus 5 Leads GPT-5.6 Sol on FrontierCode 1.1 — At Half the Roll-Out Price · Meituan Open-Sources LongCat-2.0 — 1.6T-Parameter Model Built for Agentic Coding · Chinese AI Models Now Route 18T Tokens/Week — Lapping U.S. Rivals on Price · MCP Goes Stateless at 400M Monthly Downloads — Biggest Spec Change Since Launch · Compute Costs Are Rising Faster Than Headlines Suggest — Google Paying $900M/Month to SpaceX.