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By the headline, I am referring to Leo (my AI assistant), and other AI augmented search portals.
The recent collapse of the "Ed" AI chatbot in Los Angeles Unified School District (LAUSD) has left a bitter taste in the mouths of educators, parents, and students alike. What began as a $3 million "game changer" initiative ended in federal fraud charges, FBI raids, and a shattered reputation for the technology itself. But in the backlash, a dangerous narrative is taking root: that the technology is the problem, and that students who use AI tools on their own time should be penalized for the failures of a few bad actors in the boardroom.
It is time to set the record straight. The failure of the AllHere project was not a failure of artificial intelligence. It was a failure of people.
The Confusion of Bad Management with Bad Technology
The scandal surrounding Joanna Smith-Griffin and the AllHere company is a textbook case of corporate malfeasance. The charges are staggering: inflating revenue from $11,000 to $3.7 million, using investor funds for a North Carolina down payment and a lavish Miami wedding, and leaving a school district holding the bag when the company collapsed.
This was not an AI error. This was fraud.
To punish students for using AI tools because a founder misappropriated funds is like banning calculators because a math teacher forged the answer key. The AllHere incident was a "black mark" for the implementation of AI in schools, driven by:
Greed: The desire for quick wealth over sustainable product development.
Haste: The pressure to scale before the product was viable, fueled by the "halo effect" of awards like Forbes 30 Under 30.
Lack of Oversight: A systemic blindness where investors and administrators ignored red flags because they were too eager to believe in the "next unicorn."
The technology itself—using AI to tutor students, explain complex concepts, or help brainstorm ideas—remains sound. In fact, it is an excellent idea. The problem was the vehicle chosen to deliver it, not the user.
Don't Blame the Tool for the Workman's Mistakes
The most concerning fallout from this scandal is the potential for public schools and private primary education institutions to overcorrect. There is a growing fear that schools will ban or penalize students for using AI tools like Leo (Brave's AI assistant) or other search-augmented portals to complete homework.
This would be a tragic mistake.
Students who independently use AI to:
Understand a difficult math concept.
Get a second opinion on a thesis statement.
Practice for a language exam.
Brainstorm topics for a research paper.
...are engaging in digital literacy. They are learning how to leverage the most powerful tool of their generation to enhance their own understanding.
Penalizing these students for the shoddy workmanship of a failed startup contract is unjust. It punishes the learner for the sins of the administrator. The distinction must be clear:
Misuse: Submitting AI-generated text as one's own original work without citation. This is plagiarism, regardless of the tool used.
Proper Use: Using AI as a tutor, a sounding board, or a research aid, and acknowledging that assistance. This is the future of education.
A Call for Nuance Over Fear
The "black eye" given to AI in education is real, but it is a stain on governance, not on innovation. We must not let the greed of a few corrupt the potential for the many.
Schools should be teaching students how to use these tools ethically, not banning them out of fear. The focus should be on:
Citation: Teaching students to credit AI assistance just as they would a human tutor or a library source.
Verification: Training students to fact-check AI outputs, understanding that tools can hallucinate.
Critical Thinking: Designing assessments that value the process of learning over the product of a final essay.
The LAUSD scandal was a cautionary tale about due diligence, financial integrity, and the dangers of hype. It was not a referendum on the utility of AI for a student sitting at their kitchen table at 9 PM, trying to make sense of a math problem.
Let us not cover-up the true scandal which is deliberate, unconscionable malfeasance at the corporate, and local government, levels. The tools are here to stay. The question is not whether to use them, but how we teach our students to use them wisely. Let's hold the fraudsters accountable, but let's empower the students.