Pulse

Applied Materials exceeded Q4 earnings expectations, driven by robust demand for its AI chip manufacturing equipment. This surge in demand highlights the significant growth and investment within the artificial intelligence sector, particularly in semiconductor production. AI

AI chip startup Fractile has secured $220 million in funding to develop hardware aimed at accelerating AI inference queries. The company plans to leverage this investment to enhance AI infrastructure performance. This development is significant for AI service developers and infrastructure operators seeking faster processing capabilities. AI

Cerebras Systems is increasing its IPO price target, aiming to raise $5.5 billion. The company is seeking a valuation of $40 billion, reflecting strong investor interest in AI chip stocks. This move highlights the significant demand driven by the current artificial intelligence boom. AI

Origin Lab has secured $8 million in seed funding to establish a marketplace connecting video game companies with AI labs building world models. The startup will convert video game assets into usable training data for AI systems that need to understand physical reality. This initiative aims to provide AI developers with high-quality licensed data while enabling game companies to monetize their existing digital assets. AI

Medicare has launched a new payment model, ACCESS, designed to incentivize AI-driven healthcare solutions by rewarding health outcomes rather than traditional service delivery. This program, set to begin July 5, allows companies like Pair Team to be reimbursed for AI agents that monitor patients, coordinate care, and ensure medication adherence, which was previously not possible under standard Medicare reimbursement structures. The initiative aims to foster innovation in chronic disease management by creating a framework where AI can be integrated at scale to improve patient well-being. AI

Canada's federal government is allocating $66 million to 44 artificial intelligence projects across the country. This funding, announced by AI Minister Evan Solomon, aims to provide these projects with crucial access to compute power. The initiative is designed to help Canadian AI ventures commercialize their work and achieve scalability. AI

Google's NotebookLM has demonstrated a new capability to analyze text from books and automatically generate animations of complex processes, such as injection molding. This feature allows users to create high-quality explanatory videos solely from textual content without needing explicit prompts, showcasing AI's evolving multimodal applications. Separately, CME Group and Silicon Data are planning to launch a futures market for AI computing power, aiming to help traders and AI developers manage price volatility and risk. AI

Exaforce has secured $125 million in Series B funding to develop artificial intelligence solutions aimed at proactively detecting and neutralizing cyberattacks. The company's technology focuses on real-time threat interception, enhancing cybersecurity measures. This funding round is expected to accelerate the development and deployment of their AI-driven cybersecurity platform. AI

Indika developer, 2pt5, has secured $5 million in funding for its upcoming project. The studio is currently deciding between self-publishing or partnering with a publisher for its next release. Meanwhile, Lip-Bu Tan of Intel has indicated a collaboration with Nvidia on new products, likely involving AI. AI

AI voice startup Vapi has secured $50 million in Series B funding, reaching a $500 million valuation. This funding round was led by Peak XV Partners and includes investment from Microsoft's M12, Kleiner Perkins, and Bessemer Venture Partners. Vapi's growth was significantly boosted by Amazon Ring's decision to route 100% of its inbound customer support calls through Vapi's platform, a choice made after evaluating over 40 competing AI voice vendors. The company plans to use the new capital to expand its engineering, infrastructure, and go-to-market teams. AI

White Circle, an AI control platform, has secured $11 million in seed funding to develop software that monitors and secures AI models used in workplace applications. The company's technology acts as a real-time enforcement layer, checking user inputs and AI outputs against company-specific policies to prevent harmful or prohibited actions. This funding will support team expansion, product development, and customer growth, with backing from notable figures in the AI industry. AI

A new AI startup has secured $1.3 billion in funding to build what it calls an 'AI grid.' Meanwhile, OpenAI is facing wrongful death lawsuits that are testing a novel legal strategy. These cases highlight the growing legal and ethical challenges surrounding AI development and deployment. AI

Kuaishou is spinning off its AI video generation unit, Kling, with plans to raise new funding at a $20 billion valuation. Tencent has joined this pre-IPO round, signaling a significant strategic shift for Chinese tech giants who now view generative AI as potentially more valuable than their existing social media businesses. The news led to a 10% surge in Kuaishou's stock. AI

SoftBank's new venture, AGENTIC STAR, has won the Grand Prize at the 3rd Japan New Business Award for its strategic design in the expanding AI market. Separately, OpenAI has established a new subsidiary, OpenAI Deployment Company, to assist businesses in adopting AI technologies. AI

GitLab is undergoing a significant restructuring, dubbed "Act 2," to align with the rise of AI agents in software development. This strategic shift involves reducing the number of countries it operates in by up to 30%, cutting management layers, and reorganizing R&D into smaller teams. The company plans to reinvest most of the savings from these changes into developing AI agent technology, which will fundamentally alter how software is coded, reviewed, and deployed. AI

OpenAI has established a new company focused on enterprise AI adoption, aiming to provide dedicated support for businesses integrating AI technologies. This move signifies OpenAI's strategic push into the enterprise sector, offering specialized solutions and assistance. The initiative is expected to accelerate the deployment of AI within corporate environments, addressing specific business needs and challenges. AI

Robinhood is launching a second public venture fund, RVII, to allow retail investors access to early-stage startup deals. This follows the strong performance of its first fund, RVI, which has seen its market value double since its debut, partly due to its investments in AI companies like OpenAI. Unlike traditional venture capital, Robinhood's funds offer daily liquidity and do not charge profit-sharing fees, aiming to democratize startup investing. AI

Kuaishou Technology is planning to spin off its AI video generation business, KeLing AI, which is reportedly seeking to raise $2 billion at a $20 billion valuation. KeLing AI has already achieved an annualized revenue of $500 million, doubling its income since February. The company is in discussions with potential investors, including Tencent, though the deal is not yet finalized. If successful, KeLing AI would become the highest-valued independent video generation model globally. AI

Nscale, an AI infrastructure developer, has secured $790 million in financing for its data center campus in Narvik, Norway. The deal, backed by several Nordic and European banks, signals a shift towards treating AI infrastructure as long-term industrial utility rather than speculative tech. This funding will support the expansion of Nscale's GPU campus, highlighting the increasing competition for energy, capital, and grid access driven by AI development. AI

Canada is pursuing digital independence by investing in domestic AI infrastructure, rather than attempting to match U.S. spending. The country's Minister of Artificial Intelligence and Digital Innovation, Evan Solomon, announced up to $66 million in funding for 44 projects across British Columbia through the Compute Access Fund. This initiative aims to build Canadian data centers for Canadian companies and citizens, with a focus on sustainability and community benefit. A partnership with Telus will establish three new AI-focused data center sites in British Columbia, emphasizing sustainable design principles like closed-loop water systems and heat reuse. AI

Cellular Intelligence, an AI startup funded by Mark Zuckerberg, has acquired the rights to an experimental Parkinson's cell therapy from Novo Nordisk, the pharmaceutical company known for Ozempic. This acquisition signifies a convergence of artificial intelligence and biotechnology in the pursuit of treatments for neurological diseases. The deal involves Cellular Intelligence taking over the development and treatment rights for the therapy. AI

Cowboy Space Corporation has secured $275 million in Series B funding to develop its own rocket program, aiming to address the scarcity of launch capacity for orbital data centers. The company, formerly Aetherflux, pivoted from space-based solar power to focus on hosting AI computing workloads in orbit. CEO Baiju Bhatt believes building their own rockets is necessary to scale the business and compete economically with terrestrial alternatives, despite the significant challenge and competition from established players like SpaceX and Blue Origin. AI

Arm has secured over $2 billion in commitments for its new AGI CPU, more than double its initial expectations, with $90-100 million slated for shipment in Q4 2026. Despite this strong demand, an analyst predicts Arm's market share in the data center CPU sector will remain in the low single digits. The company projects substantial revenue growth, aiming for $15 billion in AGI CPU sales by FY 2031, which would significantly boost its total revenue. AI

Basata has secured $21 million in funding to advance its AI agents for healthcare and administrative tasks. Separately, AI agents are reportedly driving increased demand for Mac Minis, and a veteran investor is backing Ethereum due to AI agent growth. Google has also identified criminal hackers utilizing AI to discover major vulnerabilities. AI

Wall Street is experiencing a significant boom in AI-related memory chip stocks, with the Philadelphia Stock Exchange Semiconductor Index surging and companies like Micron seeing substantial gains. This surge is driven by the high demand for High Bandwidth Memory (HBM) chips essential for AI accelerators, which require significantly more memory than traditional servers. However, a Harvard Business School professor warns that this rapid price increase and demand curve are unsustainable and reminiscent of past memory market cycles, predicting a future correction. AI

OpenAI has launched DeployCo, a new venture aimed at assisting businesses in developing AI-driven solutions. Separately, Cowboy Space has secured $275 million in funding to construct data centers in orbit, addressing the growing demand for space-based computing infrastructure. AI

SoftBank founder Masayoshi Son is in discussions with French President Emmanuel Macron regarding a significant investment in AI data centers within France. This initiative is part of SoftBank's broader strategy to establish global AI infrastructure, with Son considering a multi-billion dollar commitment. The announcement is anticipated in the coming weeks, signaling a major move in the AI hardware landscape. AI

SoftBank is investing in water-based battery technology to power AI data centers. This initiative aims to provide a more sustainable and secure energy source for the growing demands of artificial intelligence computation. The company's strategy focuses on leveraging clean energy to support future AI infrastructure. AI

Config, a company described as the "TSMC of robotic data," has secured significant backing from major South Korean industrial players including Samsung, Hyundai, and LG. This investment positions curated datasets as the new foundation for physical AI, particularly in robotics. The move signifies a strategic shift towards leveraging specialized data for advancements in AI and robotics. AI

SoftBank is launching a battery manufacturing business in Japan to meet the escalating power demands of artificial intelligence applications. The company aims to produce battery cells and energy storage systems, targeting gigawatt-hour scale production by fiscal year 2028 and over 100 billion yen in annual revenue by 2030. This initiative involves partnering with South Korean startups to develop zinc-halogen batteries, which utilize water-based electrolytes for enhanced safety compared to traditional lithium-ion cells and to reduce reliance on Chinese supply chains. AI

MiniMax's affiliated company, Shanghai Xiyu Jizhi, has significantly increased its registered capital from 1 billion to 4 billion RMB. This substantial 300% surge indicates a major scaling of AI infrastructure and operations for the company. The entity, established in November 2021, focuses on services including AI software development and computer systems. AI

OpenAI facilitated a significant stock sale for its employees in October, allowing up to 75 individuals to sell shares worth $30 million each. This event resulted in a total of $6.6 billion in shares being sold by over 600 employees, creating a new cohort of millionaires within the company. This move is seen as a way to provide pre-IPO liquidity and aid in employee retention as the company's valuation continues to climb. AI

A recent report indicates that automation, largely driven by AI investments, is the primary cause of job cuts in the US. In April alone, employers shed 83,387 jobs, a significant increase from the previous month, with the tech sector leading these reductions. Major tech companies like Meta, Amazon, Microsoft, and Alphabet are implementing substantial layoffs and workforce reductions, reallocating funds towards AI development and infrastructure. AI

The global economy is experiencing an unprecedented capital expenditure cycle, projected to reach nearly $5 trillion by the end of the decade. This boom is driven by a confluence of factors including energy security, rising electricity demand, and decarbonization efforts, alongside significant investments in AI infrastructure. Major tech companies like Alphabet, Amazon, Meta, and Microsoft are investing heavily in AI, contributing to a surge in chip demand and related capital spending. AI

ByteDance is significantly increasing its AI infrastructure budget for 2026, allocating over $30 billion. This substantial investment, a 25% rise from initial plans, is fueled by the rapid user growth of its Doubao AI product and the expansion of its Volcano Engine enterprise services. A key aspect of this increased spending will be directed towards sourcing AI chips domestically within China. AI

China is accelerating its efforts to bolster its AI-driven cybersecurity market in response to advancements by leading US firms like Anthropic and OpenAI. These US companies are releasing new models with improved security features, prompting China to scale up its own AI cyber defense capabilities. Industry analysts project significant growth for China's AI cybersecurity sector, anticipating a valuation of approximately $8.7 billion by 2030, driven by domestic vendors integrating AI into their security products. AI

Transsion has invested in Future Smart, a company that produces AI meeting earbuds powered by iFlytek technology. This collaboration is focused on developing advanced AI Agent hardware for global markets. The partnership aims to leverage Future Smart's existing user base of 1.5 million and expand into regions like Africa, Southeast Asia, and Latin America. AI

OpenAI has significantly increased the pricing for its GPT-5.5 model, with real-world costs rising by 49% to 92% depending on input length, despite claims of shorter responses offsetting the hike. This price increase, mirroring Anthropic's earlier adjustments to Claude Opus 4.7, is attributed to both companies preparing for potential IPOs. In response, developers are exploring multi-model routing strategies to manage costs by directing simpler tasks to cheaper models like Kimi K2.6 or DeepSeek V4-Pro, while reserving premium models for complex or critical operations. AI

Anthropic is experiencing unprecedented growth, with revenue and usage increasing 80-fold in a single quarter, leading to infrastructure challenges. To meet demand, the company has secured a significant compute deal with Elon Musk's xAI, renting the entire Colossus 1 data center which provides 220,000 NVIDIA GPUs. This partnership aims to alleviate usage limits for its Claude Code and API services, despite past public criticisms from Musk towards Anthropic. AI

Anthropic has issued a warning to investors regarding unauthorized secondary platforms that are offering access to its shares. The AI company explicitly named several platforms, stating that any transactions facilitated by them are void and will not be recognized. This action comes as demand for shares in AI companies surges, with Anthropic being a particularly sought-after stock on secondary markets. The company is reinforcing its transfer restrictions, making it clear that any share sales or transfers not approved by its board are invalid. AI

Anthropic has secured a significant compute deal with SpaceX, taking over the entire capacity of the Colossus 1 data center, which houses over 220,000 NVIDIA GPUs. This partnership immediately doubles the rate limits for paid Claude Code users and removes peak-hour restrictions, addressing user complaints about service strain. The agreement also includes Anthropic's interest in developing orbital AI compute capacity with SpaceX, signaling a strategic move to secure infrastructure amidst rapid growth and intense competition. AI

The White House is considering an executive order that would require government review of new AI models before their release, a move reportedly prompted by Anthropic's Mythos model. This potential policy shift was discussed with executives from Anthropic, Google, and OpenAI. Meanwhile, major tech companies like Google, Microsoft, Amazon, and Meta are significantly increasing their AI spending, collectively up 71% year-over-year, though Meta's shares saw a dip after its plans were revealed. AI

Eli Lilly has invested $2.75 billion in Insilico Medicine, a Hong Kong-based company that uses AI for drug discovery. This significant deal highlights the growing trend of major pharmaceutical companies committing substantial funds to AI-driven biotechnology. In a single week, the broader pharmaceutical industry reportedly invested $13.6 billion in AI biotech ventures. AI

Elon Musk initiated a $130 billion lawsuit against OpenAI, alleging CEO Sam Altman "stole a charity," while OpenAI's defense characterized the suit as "sour grapes." The trial began with opening statements, with Musk testifying about the potential damage to charitable giving if such actions are deemed acceptable. Concurrently, Google finalized a classified AI deal with the Pentagon, allowing its models like Gemini for "any lawful government purpose," despite internal employee protests. This Pentagon agreement follows similar deals by OpenAI and xAI, and comes as Google's AI principles have evolved since 2018. AI

OpenAI has reportedly missed key revenue and user growth targets, sparking concerns about its ability to fund future compute agreements as it approaches an IPO. This news has led to a decline in the stock prices of major partners including Oracle, Nvidia, AMD, and CoreWeave. While OpenAI has disputed the report, some analysts suggest the slowdown is a natural consequence of increased competition from rivals like Anthropic and Google's Gemini models. AI

The European Commission has issued proposed measures to Google, requiring the company to grant AI competitors access to core Android functionalities. This move aims to ensure compliance with the EU's Digital Markets Act, as Google currently reserves key capabilities like voice activation and background processes for its own Gemini AI services. Separately, Microsoft and OpenAI have adjusted their partnership terms, with Microsoft no longer receiving revenue share from OpenAI but maintaining IP licensing until 2032, while continuing as OpenAI's primary cloud partner. AI

Isomorphic Labs, an AI-driven drug discovery company spun out of Google DeepMind, has secured over $2 billion in a Series B funding round. The substantial investment, led by Thrive Capital, will be used to expand its proprietary drug design engine, IsoDDE, and advance its pipeline of drug candidates toward human clinical trials. The company leverages DeepMind's AlphaFold technology to predict protein structures and design potent, low-side-effect medicines. AI

Nvidia CEO Jensen Huang announced a partnership with Corning to boost US AI infrastructure, focusing on optical connections to meet escalating computational demands. This collaboration aims to significantly increase US optical fiber production capacity. Meanwhile, the US has accused China of large-scale industrial campaigns to steal AI secrets, a claim China denies as slander. Separately, the US is seeing a surge in local bans on new data center construction due to concerns over resource strain and environmental impact. AI

Anthropic has committed to spending approximately $200 billion over the next five years with Google Cloud, securing 5 gigawatts of next-generation TPU compute capacity starting in 2027. This deal, which represents over 40% of Google Cloud's current backlog, also includes a potential additional investment of up to $40 billion from Google. The agreement positions Google's custom TPUs as a significant competitor to NVIDIA's GPUs and highlights Anthropic's rapid revenue growth, which has surged to an annualized $30 billion. AI

Amazon is significantly deepening its partnership with Anthropic through a substantial investment and a long-term cloud computing commitment. This move, totaling up to $33 billion in investment and $100 billion in AWS spending over 10 years, positions Anthropic as a primary infrastructure user for Amazon's custom AI chips like Trainium. The deal contrasts with Amazon's conditional investment in OpenAI, highlighting a strategic focus on Anthropic for its core AI ecosystem while using OpenAI as a hedge against Microsoft's dominance. AI