AI: Weekly Summary. RTZ #736

Michael Parekh AI: Reset to Zero

3 days ago

4 MIN READ

Nvidia’s stellar Results despite China issues: Nvidia again reported strong Q1 2026 results, beating analyst expectations and providing higher guidance. This despite considerable headwinds on the China front, stemming from accelerating US/China tech trade curbs, and tariff uncertainties. Without the $8 billion plus hit on lost China revenues, the results and guidance, would have been far higher. CEO Jensen Huang stressed that longer term, it’s important to keep half the world’s AI researchers in China, using US tech platforms, rather than switching to home grown alternatives due to trade curbs. At stake is a growing $50 billion/year China AI market for US companies long term. Broader video discussion here. More here.

‘Sovereign AI’ the new AI market category: A new global AI market category dubbed ‘Sovereign AI’ by Nvidia founder/CEO Jensen Huang, is worth tens going to hundreds of billions in the coming year. This as many countries and regions accelerate plans to build AI data centers and ‘AI Factories’ to kickstart AI use and innovations in their countries and regions. Poster child for this effort is the Mideast, where Saudi Arabia, UAE amongst others, signed multi billion dollar deals during the Trump visit with US CEOs in tow. Nvidia CEO Jensen Huang talked about this market at length on the recent earnings call, and is on a swing through Europe next week to engage in more ‘Sovereign AI’ sales opportunities. . More here.

Google’s 2nd try at ‘Google Glass’: Google is readying a range of AI wearables from AI Goggles to Meta like AI Smart Glasses soon, after showing off their current efforts at its recent Google I/O Developer conference. It signed a $75 million distribution deal with eyeglass retailers Warby Parker and Gentle Monster, similar to Meta’s deal with Ray-Bans. Apple is also apparently contemplating Smart Glasses to supplement their Vision Pro AI Goggles product. All this along with the recent merger of Jony Ive’s io Products with OpenAI, again signal a robust trend in wearable and on-person AI devices in the multi-millions soon. More here.

Possible flood of AI Video content ahead: Google’s introduction of text to video Veo-3 last week, with the ability to add AI generated audio, is adding additional excitement to the prospect of large amounts of AI video content on the internet. This of course in addition to the other AI generated image and other content flows also accelerating at Meta and other sites on the web. The trend also intensifies ongoing copyright content issues with AI training and inference, and potentially invites more regulatory focus on this ‘Fair Use’ aspect of AI content. The underlying AI technologies to make all this possible continue to develop at an unprecedented pace. More here.

OpenAI’s quest beyond legacy devices for AI: OpenAI’s $6.5 billion acquisition of Jony ive’s io Products highlights the multiple execution imperatives at OpenAI under CEO Sam Altman. The company is building world-class AI research driven models and products, while scaling up ‘Stargate’ Softbank partnered AI data center infrastructure for tens going to hundreds of billions, and releasing a stream of AI applications and services. Adding AI devices in unit scale of 100 million plus a year by 2027, makes for unprecedented execution ambition for the AI native startup ahead. And doing it globally as well via the power of its global ChatGPT brand, and to developers and businesses via APIs. Also important of course will be strategic distribution partnerships with companies like Apple and presumably others over time. All makes for a scenario where at least three or more world class AI startups are housed within one company. While it’s also negotiating its governance structure under a non-profit original structure and Microsoft partnership. More here.

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