SoftBank has given the green light to the remaining $22.5 billion of its planned investment in OpenAI, according to a report from The Information. The commitment completes a deal initially announced in 2023, positioning SoftBank as a major financial backer of the artificial intelligence leader.This final approval unlocks substantial capital for OpenAI as it navigates a period of rapid growth and intense competition in the AI sector. The investment will fuel further advancement of OpenAI’s technologies, including its flagship ChatGPT, and support its expansion into new markets. The move underscores SoftBank’s confidence in OpenAI’s long-term potential and the broader AI revolution, impacting industries from technology and finance to healthcare and education.
SWIT
Anthropic Expands AI Chip Deal with Google for $Tens of Billions
Anthropic, the AI safety and research company, will leverage Google’s cutting-edge AI chips in a multi-year deal potentially worth tens of billions of dollars to power the training of its Claude chatbot, Reuters has learned.The agreement marks a significant win for Google as it seeks to establish its Tensor Processing Units (TPUs) as the industry standard for demanding AI workloads and underscores anthropic’s rapid growth and escalating computational needs.
The partnership addresses a critical bottleneck in AI development: access to sufficient and advanced computing power. As large language models like Claude grow in complexity, the cost and availability of specialized hardware become paramount.This deal allows Anthropic to accelerate its AI research and deployment, competing more effectively wiht industry leaders like OpenAI and meta, while simultaneously solidifying Google’s position in the burgeoning AI infrastructure market.
Anthropic will utilize Google Cloud’s TPUs – specifically designed for machine learning – over the coming years. While the exact financial terms remain undisclosed, people familiar with the agreement estimate the total value could exceed $10 billion, potentially reaching tens of billions depending on Anthropic’s scaling needs and future TPU generations.
The move comes as demand for AI chips surges, fueled by the rapid advancement of generative AI. Nvidia currently dominates the market, but google is aggressively pushing its TPUs as a competitive alternative, emphasizing their performance and cost-effectiveness for specific AI tasks. Anthropic’s decision to adopt TPUs represents a major endorsement of Google’s technology.
anthropic, founded by former OpenAI researchers, is focused on building reliable, interpretable, and steerable AI systems. Claude is designed to be a helpful, harmless, and honest AI assistant, and the increased computational power will enable Anthropic to refine its model and expand its capabilities. The company recently secured a $4.1 billion investment led by Amazon.
Asian markets retreat on potential new US trade curb against China
Asian markets broadly declined on Friday following reports the Biden administration is considering new restrictions on Chinese technology firms, potentially escalating trade tensions between the world’s two largest economies. The move, aimed at preventing China from acquiring advanced semiconductors and chipmaking tools, sent ripples through regional stock exchanges and stoked concerns about global economic growth.
The potential curbs build on existing restrictions and could substantially impact China’s technological advancement, affecting industries from artificial intelligence to electric vehicles. Investors are bracing for further retaliatory measures from Beijing, raising the specter of a renewed trade war that could disrupt supply chains, increase costs for businesses, and dampen consumer spending worldwide. The developments come as economic data from both the U.S. and china present a mixed picture, adding to market uncertainty.
Japan’s Nikkei 225 closed down 0.54%, while South Korea’s Kospi fell 1.44%. hong Kong’s Hang Seng Index shed 1.94% and the Shanghai Composite lost 0.76%. Taiwan’s benchmark index dropped 1.24%.The declines followed a negative session on wall Street, where the Nasdaq Composite fell 1.73% and the S&P 500 declined 0.85% on Thursday.
According to a report by the Wall Street Journal, the U.S. Commerce Department is preparing to unveil new rules that would close loopholes allowing companies like Huawei Technologies to access restricted technologies through third parties.The proposed restrictions would require companies selling advanced chips to China to obtain licenses, effectively tightening the existing export controls.
“This is a clear escalation in the tech war,” said Alicia Garcia Herrero, Chief Economist for Asia Pacific at Natixis. “The U.S. is signaling it’s willing to take more aggressive steps to slow China’s technological progress, even if it means disrupting global trade.”
the potential impact extends beyond technology companies. Analysts warn that restrictions on semiconductors could hinder China’s manufacturing sector, impacting global supply chains already strained by geopolitical tensions and the lingering effects of the COVID-19 pandemic. The U.S.government views limiting China’s access to advanced technology as crucial for national security, fearing it could be used to enhance its military capabilities.
Exclusive: Instagram shows more ‘eating disorder adjacent’ content to vulnerable teens, internal Meta research shows
Instagram is displaying more content related to eating disorders to teenage users identified as struggling with mental health, according to internal Meta research revealed exclusively to Reuters. The documents show the platform’s recommendation algorithms amplified posts about weight loss, dieting, adn body image even after these teens exhibited signs of disordered eating.The findings raise fresh concerns about Meta’s ability to protect vulnerable young users on Instagram,despite repeated pledges to prioritize their well-being. Internal Meta reports, spanning from March to October 2022, detail how the platform continued to surface potentially harmful content to a subset of over 17,000 teenage users flagged as “at-risk” of eating disorders. This issue is particularly critical as eating disorders have seen a rise in prevalence among adolescents, with potentially life-threatening consequences, and scrutiny of social media’s role in exacerbating these conditions intensifies.
the research revealed that approximately 6% of the content shown to these teens was categorized as “eating disorder adjacent,” meaning it focused on related topics without explicitly promoting eating disorders. Though,this figure represented a substantially higher proportion than the 0.8% of similar content shown to a control group of teens not identified as vulnerable.Meta researchers noted the algorithms appeared to be “over-optimizing” for engagement, prioritizing content that kept users scrolling, even if it was detrimental to their mental health.
one internal document from May 2022 stated, “We see evidence that our recommendations are leading vulnerable teens to content that could exacerbate their body image issues.” Another report, from October 2022, found that the platform’s algorithms were recommending content related to “extreme weight loss” and “fitness” to teens who had previously engaged with similar posts.
Meta spokesperson, Andy Stone, stated the company is “committed to creating a safe experience for everyone, especially teens,” and that they have introduced features like “Take a Break” and parental controls to address these concerns. He added that the research cited represents a snapshot in time and that Meta has since made changes to its algorithms and policies.
However,advocacy groups argue these measures are insufficient. ”Meta knows this content is harmful and continues to profit from it,” said Sandon Thompson, a spokesperson for the National Eating Disorders Association. “These internal documents prove they are prioritizing engagement over the safety of their users.”
The documents reviewed by Reuters are part of a broader trove of internal Meta papers disclosed by whistleblower Frances Haugen, and currently being used in ongoing congressional investigations into the company’s practices. The findings are likely to fuel further calls for greater regulation of social media platforms and increased accountability for protecting young users.
Meta Platforms Inc. is introducing new parental controls designed to give parents more oversight of their teenagers’ activity on its apps, including Instagram and Facebook, following mounting criticism over potentially harmful interactions with the company’s AI chatbots. The changes, announced Tuesday, will allow parents to approve or deny their teens’ requests to download apps and will provide activity reports detailing time spent on the platforms.
The move comes amid growing concerns about the safety of young users online and specifically follows reports of Meta’s AI chatbots engaging in suggestive or inappropriate conversations with children.Lawmakers and advocacy groups have pressured Meta to strengthen its safeguards,arguing that the company has a responsibility to protect vulnerable users from exploitation and harmful content. The new controls aim to address these concerns by increasing transparency and giving parents more tools to manage their children’s digital experiences.
Specifically, Meta is rolling out “Family Switch,” a new tool within its Family Center that allows parents and teens to jointly manage settings. Parents can approve or deny requests from their teens to download apps from the app stores, and teens can initiate those requests. Meta is also introducing activity reports for teens, showing time spent on Instagram and Facebook, and also the accounts they interact with. These reports will be visible to both parents and teens.
The company is also expanding its supervision tools to include Reels, a popular short-form video format on Instagram. previously, parental supervision was limited to direct messaging. Parents will now be able to see what Reels their teens are watching.
These features are being rolled out in the United states, with plans for expansion to other countries in the coming months.Meta stated the changes are part of its ongoing commitment to creating a safer online environment for young people, acknowledging the evolving challenges of digital parenting. The company has faced increased scrutiny from regulators and the public regarding its handling of user safety, especially concerning children and adolescents.
Wall St Week Ahead Tests coming for rocky market from Tesla, Netflix and delayed CPI report
Wall Street faces a pivotal week as investors brace for earnings reports from Tesla and Netflix, alongside the release of a delayed Consumer Price Index (CPI) report, all against a backdrop of ongoing market volatility.the confluence of these events will test the resilience of a market already rattled by concerns over inflation, interest rate hikes, and slowing economic growth.The upcoming data and corporate disclosures are crucial for gauging the health of the economy and corporate America. A hotter-than-expected CPI reading could fuel fears of further aggressive Federal Reserve tightening,potentially triggering another sell-off in stocks and bonds. Conversely, weaker-than-anticipated data might offer some respite, but could also signal a deeper economic slowdown. Tesla’s earnings will be closely watched for signs of demand erosion in the electric vehicle market, while Netflix’s subscriber numbers will provide insight into the streaming giant’s ability to navigate increased competition.
Tesla reports earnings after the close on Wednesday, with analysts expecting adjusted earnings of 98 cents per share on revenue of $23.36 billion, according to Refinitiv data. Netflix follows on Thursday, with a consensus estimate of $3.20 per share on revenue of $8.54 billion. The CPI report, delayed from its usual Friday release due to the Martin Luther King Jr. holiday, is now scheduled for release on Tuesday. Economists forecast a 0.1% increase in the CPI and a 0.3% rise in core CPI.