AI: Weekly Summary. RTZ #409

1. Amazon Adept transaction cements AI ‘Aqui-Hire’ trend: Amazon hired Adept founders from the AI unicorn startup, and agreed to license its Agentic AI. Most of the Adept team have joined Amazon. This second major data point echoes Microsoft’s ‘acqui-hire’ of the Inflection team a few months ago, as the Information notes. Terms were not dislclosed on the Amazon Adept deal, but the deal is expected to follow the Microsoft/Inflection deal pattern where the investors get ‘a modest return’ on their capital. The piece goes on to discuss potential similar deals with other ‘talent-rich AI startups’ like Character.AI, Cohere, Israel’s AI21 Labs, and others. All of this is of course also in reaction to continuing governmental focus on these transactions. More here.

   

2. Open and Close AI continue to blur: The lines between Open and Closed AI continue to blur, with increasing debates on what constitutes Open Source. The latest example was the new debate on Meta’s open source AI strategy, after comments by its AI head Yann LcCun. The issue has regulatory implications given the EU AI Act exempting open-source models from some legal requirements. Stanford University’s Percy LIang, also weighs in on the debate given Stanford’s work on Foundational Model Transparency Index. More on the blurring trends here.

   

3. Tech companies focus on Nuclear Power for AI data centers: Big Tech companies like Amazon, Microsoft and others are locking up ‘Nuclear Power for AI’, as the WSJ reports. Amazon and others are being accused of ‘jumping the line’ against other power uses of nuclear plants coming on line. Discussion surrounds Amazon’s recent AI data center deal in Pennsylvania to receive almost a GigaWatt of nuclear generated power from a plant there. The discussion highlights similar issues to come as Microsoft/OpenAi, Google, Nvidia, and others race to build AI data center infrastructure and Compute as AI scale. More here.

   

4. Apple’s opportunities with AI Healthcare via Apple Watch: Apple is leaning into adding more AI/ML features into its devices, including the Apple Watch, making it the ‘Doctors’ Favorite Medical Device’, as the WSJ outlines. With over 40 million watches sold annually, the Apple Watch is on its way to becoming a ‘proactive’ health platform, with its growing array of sensors, and heath apps shielded by Apple’s focus on user privacy and trust. Other examples include ‘Whoop’ by OpenAI, and other devices/services coming on line as well. More on this broader trend here.

   

5. Masa Son leans into AI Power & Chips: Softbank’s Masayoshi Son is leaning into AI Power and Chip infrastructure investments with a $10 billion plus plan. It emulates Softbank’s earlier infrastructure investments in prior tech waves. Softbank’s current successful outcome with ARM Holdings, bolsters this investment focus by Masa Son. And supplements the broader industry focus worldwide to accelerate AI Chips and Power investments to Scale AI. Softbank is also focused on renewable energy and nuclear fusion on potential new sources of power for AI infrastructure. More here.

   

Other AI Readings for weekend:

1. X/Twitter plans deeper integration of Grok AI by xAI, into the social networking app. 

   

2. More cases of Hollywood Star Estates agreeing to Voice AI Deals, this time including Judy Garland and Burt Reynolds by ElevenLabs. Continues ‘digital twins’ trend discussed earlier.

   

Thanks for joining this Saturday with your beverage of choice. 

Wish you all a great July 4th Weekend.

Up next, the Sunday ‘The Bigger Picture’ tomorrow. Stay tuned. 

(NOTE: The discussions here are for information purposes only, and not meant as investment advice at any time. Thanks for joining us here)