A new AI-first form factor could be coming to market as the result of a partnership between OpenAI CEO Sam Altman, former Apple design guru Jony Ive and SoftBank CEO Masayoshi Son. Altman and Ive are said to be developing — and SoftBank potentially funding — an AI device to succeed the smartphone. Since co-founding OpenAI in 2015, Altman has been vocal about the need for a new type of device, purpose-built to leverage the capabilities of artificial intelligence. Ive, meanwhile, has been looking for a second act since exiting Apple after leading design on the iPhone, iPod and MacBook Air. Continue reading Purpose-Built AI Device May Be Coming from Ive and Altman

Amazon has entered into a strategic investment in San Francisco-based Anthropic, founded by former members of OpenAI. The AI startup will train and deploy future models using AWS Trainium and Inferentia chips to train and deploy future foundation models with AWS as its primary cloud provider. In turn, Amazon says it will invest up to $4 billion in Anthropic, as it strives to compete with other technology firms in the race to develop generative AI, seeding growth for what is shaping up to be an entirely new economic and social landscape. Continue reading Amazon Plans to Invest Up to $4 Billion in AI Startup Anthropic

A federal court has approved an agreement between Binance co-founder and CEO Changpeng Zhao and the Securities and Exchange Commission that will allow the embattled cryptocurrency firm to continue operating while fighting an SEC civil fraud lawsuit, the outcome of which may determine the future of the crypto business in the United States. Filed June 5, the Binance charge rocked an industry already reeling from market turmoil and SEC complaints against Coinbase and the founder of FTX. The SEC initially moved to freeze Binance’s U.S. assets, but the company said that would put it out of business here. Continue reading SEC Provides Binance a Lifeline as It Pursues Fraud Charges

Substack, the web-based publishing and discovery platform, has opened an investment round to its writers and potentially other retail investors. Founded in 2017, the company has already raised more than $85 million, most recently from venture firm Andreessen Horowitz and entrepreneur Audrey Gelman. But last year, in a rough economic climate, it reportedly came up dry and is now asking the many writers who rely on it to put skin in the game. Based on early response, Wednesday’s announced goal of $2 million was upped to $5 million the next day. Continue reading Substack ‘Community Round’ Outperforms Its Funding Goal

Well-funded software startups are springing up to target the enterprise market with generative artificial intelligence technology of the type popularized by ChatGPT. In 2022, global venture-capital investors parked $1.3 billion in more than 78 generative AI startup deals, according to PitchBook Data. That’s nearly as much as the combined capital investment in other tech startups over the past five years, and it came at a time when the broader investment sector was experiencing a slowdown, PitchBook found. Two of Q4’s biggest venture deals were for the generative AI startups Jasper, based in Austin, Texas, and Stability AI, headquartered in London. Continue reading Venture Capital Investors Are Drawn to Generative AI Startups

Twitter’s December adjusted earnings and revenue fell about 40 percent, year over year, according to reporting in The Wall Street Journal. CEO Elon Musk, who completed his acquisition of the social platform in October, has instituted deep cuts as he tries to reinvent the company hobbled with an estimated $1 billion in interest per annum on the $13 billion he borrowed to helped pay for the company. The troubles are due in part to bad timing, as the ad market on which Twitter and other socials depend took an overall downturn. Musk, nonetheless, remains optimistic the company will at least break even in 2023. Continue reading Twitter Revenue and Adjusted Earnings Are Down 40 Percent

Google has taken a 10 percent stake in artificial intelligence startup Anthropic for about $300 million. The move follows reports that the Alphabet-owned company has prioritized an acceleration of AI efforts, so as not to get left behind by OpenAI and its increasingly popular ChatGPT app. The cash infusion gives Google a roughly 10 percent stake in the San Francisco-based Anthropic, which Financial Times described as among “a new generation of companies trying to claim a place in the booming field of ‘generative AI,’” a sector that has triggered a veritable “AI arm’s race,” according to FT. Continue reading Google’s Investment in Anthropic Heats Up the AI Arms Race

The FTX crash and ensuing fallout has fueled efforts by Congress and federal regulators to rein in the cryptocurrency business, which caused massive investment losses this past year. Senator Sherrod Brown (D-Ohio) and Congressman Patrick McHenry (R-North Carolina) are among those leading the charge to put consumer safeguards in place. McHenry in January became chair of the House Financial Services Committee. Legislators are also calling for robust enforcement of existing laws, which the crypto industry has been resisting. Senator Elizabeth Warren (D-Massachusetts) said Congress needs the resources “to be an effective cop on the beat.” Continue reading Crypto Meltdown Renewing Regulatory Interest on Capitol Hill

Microsoft is expanding its relationship with OpenAI, entering what it calls “the third phase of our long-term partnership” with a multiyear, multibillion dollar investment to accelerate AI breakthroughs to ensure these benefits are broadly shared with the world.” Although the companies did not disclose financial terms, Microsoft’s investment was previously reported as $10 billion. The New York Times reports OpenAI is also in talks to complete a tender offer for as much as $300 million (contingent on the number of employees selling stock), “which would value the company at around $29 billion.” Continue reading Microsoft Invests $10 Billion in OpenAI, Valued at About $29B

Microsoft plans to add OpenAI’s artificial intelligence app ChatGPT to its Azure OpenAI Service, which is now being made generally available after being offered to select enterprise customers in limited availability since November 2021. ChatGPT’s Azure debut expands on the existing relationship with OpenAI, in which Microsoft in 2019 invested $1 billion, a stake it is considering to expanding by another $10 billion. Microsoft couched the moves as a ”continued commitment to democratizing AI, and ongoing partnership with OpenAI.” Microsoft chief exec Satya Nadella also announced the company plans to eventually include AI tools like ChatGPT into all of its products. Continue reading Microsoft Adding ChatGPT to Wide Release of Azure OpenAI

The European Council (EU’s governing body) has adopted a position on the Artificial Intelligence Act, which aims to ensure that AI systems used or marketed in the European Union are safe and respect existing laws on fundamental rights. In addition to defining artificial intelligence, the European Council’s general approach specifies prohibited AI practices, calls for risk level allocation, and stipulates ways to deal with those risks. The Council — comprised of EU heads of state — becomes the first co-legislate to complete this initial step, with the European Parliament expected to offer its version of the AIA in the first half of 2023. Continue reading European Council Weighs in on the Artificial Intelligence Act

Samsung says over the next five years it will invest $356 billion in chip production, biopharmaceuticals and other next-gen tech, creating tens of thousands of new jobs. While Samsung says most of the funds — $285 billion — will be spent in South Korea, the Seoul-based electronics giant also has operations in the U.S., Canada, the UK and Philippines. That new plan marks a 30 percent increase in Samsung’s spending over the previous five-year period and is a considerable expansion over earlier budgeting. Memory chip manufacturing and 6G wireless are among the areas to benefit from the new investment. Continue reading Samsung Announces Plans for $356 Billion Investment in Tech

Tech startups are booming, with a spike in investment in companies that focus on automation to stream supply chain throughput. According to data from venture capital database PitchBook, investment in tech firms that facilitate supply chain efficiency was for the first nine months of 2021 about $24.3 billion, roughly 60 percent higher than all of 2020. The acceleration is largely due to COVID-19 supply chain shortages. Until recently, despite their underlying importance to stocking the world’s shelves, businesses specializing in supply chain solutions weren’t a hot category for venture capital. Continue reading Shortages Put Investment Spotlight on Supply Chain Startups

Consumers were cheated out of $770 million by social media scams last year, according to the Federal Trade Commission, which said the number accounts for roughly one-fourth of fraud losses for the year. New scams involving e-commerce and cryptocurrency helped boost the haul, which was 18 times greater than the $42 million in social media fraud the FTC tracked for 2017. As a result, incidences of younger victims grew, with adults 18-to-39 reporting fraud losses 2.4 times more than adults 40 and over. Investment and romance scams were also high on the list.  Continue reading FTC Says Social Media Has Become Goldmine for Scammers

Deloitte chief of staff, technology, media & telecom industry Glen Dong introduced a discussion on the global economic landscape with a focus on China, which he dubbed “arguably the largest economy in the world.” He introduced Dr. Ira Kalish, Deloitte’s chief global economist, who put that into perspective with a 2020 economic outlook. “We’ve already seen a substantial deceleration of growth in the global economy,” he noted. “The Chinese economy has had some of its slowest growth in a decade.” Continue reading CES 2020: China’s Place in the Global Economic Landscape