The evening briefing.
Today across AI and tech: Cerebras's IPO soared, Microsoft revealed OpenAI dependency fears, and Google races to embed Gemini across Android before Apple's AI reboot.
AI Infrastructure. The AI sector continues to attract substantial investment and drive hardware innovation, with Cerebras pricing its IPO above expectations, raising $5.55 billion. This signals strong market confidence and anticipates further large AI deals in the coming year. Meanwhile, Cisco's stock saw a 17% jump on surging AI orders, even as the company announced 4,000 job cuts, reflecting the shifting landscape of tech employment.
Platform Competition. The battle for AI dominance on mobile platforms is intensifying, with Google aggressively positioning its Gemini AI at the core of Android across various devices. This strategic move aims to preempt Apple's anticipated AI reboot and secure Gemini's central role in the ecosystem. Apple, in turn, has warned the EU against compelling Google to open Android to rival AI services, highlighting concerns over market dynamics.
AI Governance. The increasing integration of AI is prompting new discussions around governance, ethics, and societal impact. Testimony in the Musk v. Altman trial revealed Microsoft's early fears of over-reliance on OpenAI, underscoring the strategic complexities of major AI partnerships. Separately, Princeton University will begin proctoring in-person exams due to concerns over AI-driven cheating, illustrating AI's disruptive influence on traditional educational integrity.
AI Infrastructure. The rapid expansion of AI infrastructure is also raising environmental and regulatory questions. Elon Musk's xAI is facing a lawsuit for operating nearly 50 gas turbines unchecked at its Mississippi data center, highlighting the energy demands and potential oversight gaps in large-scale AI operations. Meanwhile, Google and SpaceX are reportedly exploring ambitious plans to build data centers in Earth's orbit, suggesting a future where AI compute infrastructure could transcend terrestrial limitations.
Microsoft feared OpenAI dependency, Musk-Altman trial reveals
Testimony in the Musk v. Altman trial revealed that top Microsoft executives had concerns about becoming overly reliant on OpenAI in the early stages of their partnership. This highlights the strategic risks and power dynamics in major AI collaborations.
Cerebras prices IPO above expected range, raising $5.55 billion
AI chipmaker Cerebras successfully priced its IPO above the anticipated range, raising $5.55 billion. This signals strong investor confidence in the AI sector and anticipates further large AI deals this year.
Cisco stock jumps 17% on AI orders, announces 4,000 job cuts
Cisco's stock surged 17% due to a significant increase in AI-related orders, indicating Wall Street's growing recognition of its AI strategy. Concurrently, the company announced plans to cut nearly 4,000 jobs.
Intel's HBM-killer memory tech details emerge, approaching HBM4 bandwidth
Intel-backed ZAM memory technology details have emerged, revealing a nine-layer vertical stack with up to 9GB of DRAM capacity. This new memory reportedly approaches HBM4 bandwidth levels, positioning it for future AI hardware systems.
Apple warns EU against forcing Google to open Android to AI rivals
Apple submitted a filing to the European Commission, criticizing proposed measures that would compel Google to open parts of Android to competing AI services. The company argues against these regulations.
Microsoft Edge Copilot update uses AI to pull information from all tabs
Microsoft Edge is integrating a new Copilot AI feature that allows the chatbot to gather information from all open tabs. Users can ask questions, compare products, and summarize articles across their browsing sessions.
Notion turns workspace into a hub for AI agents with new platform
Notion has launched a new developer platform that enables teams to integrate AI agents, external data sources, and custom code directly into their workspaces. This move deepens Notion's push into agentic productivity software.
Medicare's new payment model is built for AI
Medicare has introduced a new payment model designed to accommodate AI technologies, a development that much of the tech world is reportedly unaware of. This could significantly impact healthcare AI adoption.
Google races to put Gemini at center of Android before Apple's AI reboot
Google is actively positioning its Gemini AI as the core AI layer across Android phones, Chrome, laptops, and cars with its latest Android rollout. This strategic push aims to solidify Gemini's dominance ahead of Apple's anticipated AI initiatives.
Mark Zuckerberg introduces new encrypted AI chat for Meta AI
Meta has announced a new 'Incognito Chat' feature for Meta AI, which Mark Zuckerberg is promoting for privacy. This comes after the company previously removed encrypted direct messages from some platforms.
Princeton to proctor in-person examinations starting July 1
Princeton University will begin proctoring all in-person examinations starting July 1, a significant policy change. This decision comes amidst concerns about AI-driven cheating and the strain on traditional honor code systems.
Google and SpaceX reportedly in talks to build orbital data centers
Google and SpaceX are reportedly discussing plans to construct data centers in Earth's orbit. This ambitious project could revolutionize data infrastructure, with experts suggesting it might become a standard approach within a decade.
xAI running 50 gas turbines unchecked at Mississippi data center
Elon Musk's xAI is facing a lawsuit over its operation of nearly 50 "mobile" gas turbines as power plants at its Colossus 2 data center in Mississippi. The unchecked operation raises environmental and regulatory concerns.
Tencent to ramp up AI spending as China's chip supply improves
Tencent plans to significantly increase its AI infrastructure spending in the latter half of 2026, driven by an alleged improvement in domestic AI chip production in China. The company also reported strong first-quarter results.