SATURDAY FACED WITH HIGH COSTS, US FIRMS LOOK TO CUT BACK ON AI SPENDING 30 MAY, 2026 epaper.morningstandard.in facebook.com/TheMorningStandard X.com/TheMornStandard Faced with steep IT costs, many US tech firms including Microsoft are ditching expensive AI agents like Claude Code, Axios reported L A U N C H PA D BLUE ORIGIN ROCKET EXPLODES Microsoft has reportedly cancelled most of its Claude Code licenses partly due to high costs, according to the Axios report. The tool had become highly popular inside the company since its introduction in December. As per the report, an unnamed US company spent half a billion dollars in a month after failing to put usage limits on Claude licenses for its employees A rocket belonging to Jeff Bezos’ Blue Origin exploded during a test on Thursday night, shaking nearby homes and painting the sky orange. A CAPITAL VIEW OF NEWS PAGE 9 NEW DELHI J8.00 PAGES 12 70% OF FORTUNE 100 COMPANIES USE CLAUDE, AS PER REPORTS Guv accepts resignation, CLP set to PM supervising elect DKS as Siddu successor today retest, says govt NEET-UG PAPER LEAK Siddaramaiah lobbies for loyalists as DCMs, ministers; oath-taking not later than June 6 10-member initial cabinet PREETHA NAIR, BALA CHAUHAN A N D D EVA RA J B H I R E H A L L I Sources said DKS will be sworn in with nine others — including picks by Siddaramaiah — in the initial cabinet that will be expanded after the June 18 RS polls. Plans are on for the ceremony on the grand steps of Vidhana Soudha @ New Delhi/Bengaluru KARNATAKA Governor Thaawarchand Gehlot on Friday accepted Siddaramaiah’s resignation as Chief Minister, paving the way for the Congress Legislature Party (CLP) meeting in Bengaluru to elect D K Shivakumar as the successor — scheduled for 4 pm on Saturday — amid hectic negotiations in New Delhi over ministerial berths. Shivakumar’s oath-taking date is yet to be decided. Governor Gehlot dissolved the council of ministers under Siddaramaiah — who was yet to arrive in Bengaluru at the time — but will continue to function as the caretaker CM until “alternative arrangements are made”. After the CLP meet elects Shivakumar as its leader, he will visit Lok Bhavan to stake his claim to form the new government. Shivakumar is likely to be sworn in no later than June 6, his mentor, spiritual guru and astrologer Rajguru Bellur Sankaranarayanan DU pulls up Stephen’s again over Varghese absorption I F R A H M U F T I @ New Delhi EIGHT days after John Varghese’s name appeared in the English department faculty list while he continued to be identified as principal on the college website, Delhi University on Friday directed St Stephen’s College not to proceed with his proposed absorption, citing violations of UGC norms and procedural lapses. In a May 29 letter to the chairman of the college’s governing body DU Registrar Vikas Gupta , said the university had examined media reports and found that the process did not comply with established norms. Varghese, who served as the 13th principal of St Stephen’s for two consecutive terms, is listed under the English department on the college website. The university noted that the UGC sanctions only substantive posts of lecturer or assistant professor in affiliated colleges, while promotions to associate professor and professor are made strictly through the Career Advancement Scheme under the UGC Regulations, 2018. “Neither UGC Regulations nor any rules approved by statutory bodies of the university provide for absorption of any individual directly as professor in a college,” the registrar said. The letter stated the extension granted to Varghese for a second term as principal was in violation of UGC norms. DU said any recommendation by the college governing body to absorb Varghese as professor would be “ultra vires”. It added that under existing rules, Varghese would be repatriated to his parent institution and receive pension and retirement benefits from there. Such financial liabilities, the university said, cannot be charged to UGC funds allocated to the college. The directive comes amid an ongoing tussle between DU and St Stephen’s over governance issues, including the appointment of the college’s 14th principal, Susan Elias and institutional autonomy . US COMPANY GETS $500 MILLION CLAUDE SHOCK Jarkiholi on short list Congress President Mallikarjun Kharge and senior leader Rahul Gandhi being greeted by Karnataka Deputy CM D K Shivakumar, in New Delhi on Friday | EXPRESS Dwarakanath told this newspaper. “I have told him to consider any of the three dates (May 31, June 5 or June 6) for oath-taking as they are auspicious for him. The time will, however, be 4 pm,” he said. In New Delhi, hectic parleys were on with Siddaramaiah and Shivakumar lobbying with the high command, which is keen on having two deputy CM (DCMs), although there are discussions on having four. It is learnt that the high command assured Siddaramaiah that his son and MLC Dr Yathindra will be inducted into the cabinet, besides former ministers G Parameshwara and Priyank Kharge. Sources said Siddaramaiah suggested to senior leader Rahul Gandhi that Yathindra and former ministers K J George and M B Patil be appointed as DCMs. However, names of Priyank Kharge and G Parameshwara The names of former ministers Ramalinga Reddy, George, Satish Jarkiholi and Byrathi Suresh are likely to be on the list on nine probables. Both Siddaramaiah and DKS have given their lists of MLAs for ministerial berths are also doing the rounds. One of them could also be appointed DCM, sources said. Siddarmaiah has also insisted on retaining his trusted aide Zameer Ahmed as minister and on inducting his legal advisor, A S Ponnanna, in the new ministry . Speaking to reporters after the daylong meetings, Shivakumar said, “Everything is happening as requested by the high command. Nothing has been decided.” Report sought on woman delivering baby outside Faridabad hosp premises E X P R E SS N E WS S E R V I C E @ New Delhi THE Haryana Human Rights Commission has sought a report from state health authorities after a pregnant woman was allegedly forced to deliver outside a government hospital in Faridabad. The alleged incident took place at the Government Primary Health Centre, Sector 3, Ballabhgarh, in Faridabad when a pregnant woman was reportedly compelled to deliver her child in the open parking space outside the main building of the hospital. According to a complaint and reports placed before the commission chairperson Justice Lalit Batra, the pregnant woman was brought to the hospital during the intervening night of May 15 and May 16 when she was in labour. It has been alleged that the main gate of the hospital was closed. Due to the alleged absence of doctors, nursing staff and emergency assistance, the woman reportedly had to deliver the baby outside the hospital premises. Dr Puneet Arora, assistant registrar of the commission, said that the panel has directed the additional chief secretary, health and family welfare department, director general of health services, civil surgeon of Faridabad and incharge of Government Primary Health Centre, Ballabhgarh, to submit detailed reports. Reports mentioned that the delivery and related medical procedures were allegedly conducted in the night time under torchlight in an open area. The commission observed that prima facie the situation appeared disturbing and inhuman. WUNDERKIND VAIBHAV RISES TO OCCASION As Sooryavanshi scored a crucial 96 which took RR to 214/6, a look at the tie and some talking points from IPL... BCCI BANS SMART SUNGLASSES IN PMOA SOORYAVANSHI STEALS THE SHOW The BCCI’s Anti-Corruption Unit has barred the usage of smart sunglasses by players and match officials in the ongoing IPL, citing its advanced communication features which allow live streaming and video calling through mobile data or Wi-Fi networks. In an advisory to the league’s franchises, the BCCI ACSU has stated that it has been noticed that some companies are marketing and selling smart sunglasses to players and support staff. If the 97 against Sunrisers Hyderabad made the world stand up and watch Sooryavanshi, the teenager on Friday rose to the occasion and played a crucial knock for Rajasthan Royals. Despite losing regular wickets at the other end, the 15-year-old soaked in all the pressure to smash 96 from 47 balls, helping RR post 214/6 against Gujarat Titans in Qualifier 2. PANT RESIGNS, PANDYA AND OTHERS ON RADAR While Rishabh Pant stepped down as Lucknow Super Giants captain, he may not be the only one to lose the job after this season. Following a poor show, Mumbai Indians captain Hardik Pandya, Delhi Capitals Axar Patel and even Kolkata Knight Riders’ Ajinkya Rahane might not be leading their respective teams next season. as SC raps NTA S U C H I T R A K A LYA N M O H A N T Y @ New Delhi THE Supreme Court on Friday advised the National Testing Agency (NTA) to learn from bodies like the Union Public Service Commission (UPSC) that conduct largescale competitive exams without paper leaks. The court made the observation while hearing a batch of pleas filed by the United Doctors Front and the Federation of All India Medical Associations seeking the disbanding of the NTA over the NEETUG paper leak and the upcoming retest. Solicitor General Tushar Mehta, appearing for the Centre, assured the court that the government was treating the matter with utmost seriousness. “The Prime Minister is personally supervising the situation,” he said, adding the government plans to eventually shift NEET-UG to computer-based testing. “UPSC has never been in such a situation. You need to learn. General liability clauses were not enough. The real problem won’t stop till actual accountability arises. Unless you identify the specific duty bearers, it will be difficult,” the bench said. “The problem is that most institutions are ad hoc. It’s a phenomenon that is everywhere in the country. It’s not the individual who has the capability but the institution,” Justice Narasimha observed. He asked the Centre to file an affidavit specifying how an “institutional memory of continuity” could be built by employing specialised personnel, enabling the NTA to conduct exams reliably in future. Dr K Radhakrishnan, the head of the monitoring committee to suggest recommendations to strengthen NEET, described the structural deficiencies within the NTA in 2024, including the lack of sufficient domain experts. He added that major reforms had been undertaken in the transport of question papers as well, which had previously been vulnerable. The court suggested a permanent, small monitoring mechanism with top universities and IITs to continuously assess and strengthen the system, especially with new technologies like AI. P7 AI-based tools shall be used for at least 85% of translation work to minimise human intervention... Randomisation, rotation is being institutionalised for engagement of paper setters, moderators, vetters, translators for exams NTA affidavit Systemic gaps ‘fixed’ for retest Radhakrishnan, who headed the monitoring committee in 2024 to strengthen NEET, said the panel had submitted 35 long-term and 60 short-term suggestions, most of which had been implemented. He assured the court that the vulnerabilities exposed this year had been addressed for the retest next month Guv sore over partial Vande Mataram in Kerala House S O V I V I D YA D H A R A N @ T’puram VANDE Mataram once again emerged as the centrepiece of a tussle between the UDF government in Kerala and the Lok Bhavan after the Union government’s directive to render the national song in its entirety was not followed at the inaugural session of the 16th Kerala Legislative Assembly . Instead, the Kerala Police band played only the opening stanza. While it marked the first time that Vande Mataram was rendered in the assembly, the omission of the remaining stanzas drew strong objections from Governor Rajendra Arlekar, who delivered the UDF gover nment’s maiden policy address in the House. Arlekar told reporters that the Lok Bhavan had, a day earlier, insisted that the national song be sung or played in full in accordance with protocol. He said he had raised the matter with Speaker Thiruvanchoor Radhakrishnan. “Let us see how things develop,” he said. Chief Minister V D Satheesan defended the decision to play only the opening portion of Vande Mataram. “We all function based on the decision the (Congress) party has taken. Besides, it is not mandatory. Parliament has not passed any legislation on it. It is only a guideline,” he told reporters. The BJP termed the truncated rendition an “affront” to the governor and the Lok Bhavan. Interestingly, the UDF found support from an unlikely quarter, with the Opposition LDF backing its stand. CBSE Class XII result re-evaluation portal launch postponed to June 1 S LALITHA & IFRAH MUFTI @ New Delhi THE Central Board of Secondary Education (CBSE) on Friday announced that its portal for Class XII answer sheet verification and re-evaluation will be made operational from June 1. The announcement has come after days of technical disruptions and student complaints on the board and the Centre asking experts from IITMadras and IIT-Kanpur to help the CBSE made the portal error free. The board said the move to shift the deadline to June 1 aims to ensure a “transparent and glitch-free process”. The portal—which first crashed on May 19, the very first day of it going public— due to heavy traffic, subsequently faced multiple techni- Audit of IT infra Amid nationwide uproar, the CBSE has initiated a technical review of its digital infra, with a four-member expert team, comprising specialists from IIT-Madras and IIT-Kanpur, conducting an audit of the board’s IT ecosystem, said V Kamakoti, IIT-M director. cal glitches and intermittent shutdowns. Students attempting to apply for re-evaluation reported difficulties accessing the system, with many encountering maintenance errors, excess fee deductions, payment completions without acknowledgement receipts, etc. In response to mounting concerns, the CBSE initiated a technical review of its digital infrastructure. A four-member expert team from the two IITs is currently conducting an audit of the portal. According to V Kamakoti, director of IIT-M, the team will soon submit a report to the board. An official said that the excess payment issue faced by Class XII candidates could be an outcome of a concerted hacking exercise carried out by 50-odd students. “That was why the payment invoices for some students said `67,000 had to be paid for gaining access to answer sheets, while for others it showed `1 as the fee,” he said. However, the official admitted that some tech glitches indeed took places, saying that the on-screen marking (OMS) system, a new mechanism devised by the board this time, was transparent. HCs must pronounce verdict within 3 months of reserving it S U C H I T R A K A LYA N M O H A N T Y @ New Delhi THE Supreme Court on Friday imposed tight timelines on all high courts to issue orders on bail applications and reserved verdicts. It said bail application must be disposed of after hearing within 24 hours. As for reserved judgments, it directed that the verdict be pronounced within three months from the date of reservation. A two-judge bench comprising Chief Justice of India Surya Kant and Justice Joym- If judgment is not pronounced within three months from the date of reserving, parties can file an application for release of the judgment. The application should be listed within 2 days If the judgment is not pronounced within 3+1 months from the date of reserving, parties can file an application to withdraw the said case alya Bagchi issued a set of binding directions while hearing a petition challenging the Jharkhand High Court’s delay in pronouncing judgments in NEW TIMELINES and move it over to another bench for fresh arguments Reasoned judgment pronounced in open courts should be uploaded on the high court website within 24 hours High courts should update their website. The date of reserving judgment shall be reflected in the case status If only the operative portion of judgment is delivered, the case status must record it. When the reasoned judgment is uploaded, the parties/ advocates shall be informed by email The certified copy of the judgments shall mention the date of reserving the judgment, the date of pronouncing the judgment, and the date of uploading it criminal appeals reserved as far back as in 2022. The court directed that the order of bail or sentence suspension be communicated to the jail authorities as soon as it is pronounced, and that the undertrial or convict should be released, preferably the same day or at most the next day . If a bail order is reserved, it must be pronounced and uploaded the next day . If a reserved judgment is not delivered within three months, the Registrar shall place the matter before the chief justice. “The chief justice shall bring it to the notice of the bench within 2 weeks thereafter. If it is still not delivered, the chief justice may assign the case to another bench.” If a reasoned judgment is withheld, the operative part may be pronounced in the court, and the reasoned verdict uploaded within 15 days. RBI UPBEAT ABOUT ECONOMY DESPITE WAR Outlook for 2026-27 remains positive, supported by strong macroeconomic fundamentals, the RBI said in its annual report
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