Gemini AI Can Delete Watermarks—And That’s a Legal Problem

✨TodayOnAI’s Daily Drop

• Gemini AI Can Delete Watermarks—And That’s a Legal Problem

• Roblox Launches Cube: A New AI Tool for 3D Game Creation

• Elon Musk’s xAI Buys Video AI Startup to Take on Sora

• 💬 Let’s Fix This Prompt

• 🧰 Today’s AI Toolbox Pick

Gemini

Gemini AI Can Delete Watermarks—And That’s a Legal Problem

🚀 TodayOnAI Insight: Google’s Gemini 2.0 Flash is under scrutiny after users discovered it can remove watermarks from copyrighted images—an ability that raises major ethical and legal concerns. Despite being labeled experimental, the model’s image-editing powers are already provoking pushback from creators and copyright holders.

🔍 Key Takeaways:

• Gemini 2.0 Flash can remove watermarks from copyrighted images, including Getty stock photos, and convincingly fill in the resulting gaps.

• The feature is available via Google’s AI Studio and is currently marked “experimental” and “not for production use.”

• Unlike competitors like Claude or GPT-4o, Gemini does not restrict watermark removal, despite legal and ethical implications.

• Google responded that use of its tools to infringe copyright violates its terms and said it's “monitoring closely.”

• The model struggles with complex watermarks, such as semi-transparent or full-image overlays, but performs better than many alternatives.

💡 Why This Stands Out: This incident exposes a growing rift between rapid AI capability rollouts and the enforcement of responsible use policies. As generative models become more adept at editing and manipulating visual content, the line between experimentation and exploitation blurs. If models can quietly erase ownership, what protections remain for creators?

Roblox

Roblox Launches Cube: A New AI Tool for 3D Game Creation

🚀 TodayOnAI Insight: Roblox has launched “Cube,” its generative AI model for 3D creation, giving developers the power to generate in-game objects from simple text prompts. Alongside the debut, Roblox is open-sourcing Cube and previewing several new AI tools that signal a broader push into AI-assisted game development.

🔍 Key Takeaways:

• Cube enables 3D mesh generation from a single prompt (e.g., “orange racing car with black stripes”), with fine-tuning available in Roblox Studio.

• Open source version of Cube lets developers outside Roblox create plug-ins or retrain the model on custom data.

• Three new AI tools are coming soon: text generation (for NPC dialogue), text-to-speech (for narration), and speech-to-text (for voice commands).

• Scene and complex object generation are in development, with a vision for “4D creation,” where AI builds interactive, responsive environments.

• Demoing at GDC, Cube will be available to creators later this week.

💡 Why This Stands Out: Roblox’s Cube marks a strategic shift toward AI-native content creation, lowering barriers for indie developers and accelerating in-game asset production. Its open source release also positions Roblox as a platform, not just a product. As more companies enter the AI-in-gaming race, will tools like Cube redefine who gets to create—and how?

xAI

Elon Musk’s xAI Buys Video AI Startup to Take on Sora

🚀 TodayOnAI Insight: Elon Musk’s xAI has acquired Hotshot, a San Francisco-based startup specializing in AI video generation, signaling xAI’s move into the competitive space of text-to-video models. The deal positions xAI to challenge OpenAI’s Sora and Google’s Veo 2 by integrating video capabilities into its Grok platform.

🔍 Key Takeaways:

• Hotshot built three proprietary video foundation models—Hotshot-XL, Hotshot Act One, and Hotshot—focused on text-to-video generation.

• The startup was backed by high-profile investors, including Alexis Ohanian, Lachy Groom, and SV Angel, though funding details were never disclosed.

• xAI’s acquisition aligns with Musk’s earlier hints that a “Grok Video” model could launch soon, adding multimodal depth to the Grok chatbot.

• Hotshot has begun sunsetting its platform, with existing users able to retrieve content until March 30.

• Team transition details remain unclear, with no confirmation on whether Hotshot’s full staff is joining xAI.

💡 Why This Stands Out: xAI’s acquisition underscores the rising strategic importance of generative video in AI’s next frontier. As competition heats up between OpenAI, Google, and now xAI, the race is no longer just about language models—it’s about building rich, multimodal ecosystems. Will xAI’s access to massive compute via Tesla’s Dojo and Colossus clusters give it an edge?

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🧰 Today’s AI Toolbox Pick

• 🍋LemonSqueezy (Finance Tool): Handles the tax compliance burden so you can focus on more revenue with less headache.

• 💻ZipWP (Web Design Tool): Creates stunning websites in seconds.

• ⚙️DupDub (Content Tool): An all-in-one content creation platform that allows you to craft your content effortlessly and streamline your workflow.