The morning briefing.
While you slept: Samsung and SK Hynix commit $590B to chips, AI coding tools reveal malware vulnerability, and China's AI models lead global API calls.
Chip Supply Chains. South Korea's Samsung and SK Hynix are investing an unprecedented $590 billion into new chip factories and packaging centers. This massive commitment is driven by surging AI data center demand, aiming to solidify their dominance in the high-bandwidth memory market. Apple is reportedly lobbying the US government for approval to source DRAM chips from China's CXMT. This highlights complex geopolitical and supply chain pressures.
AI Security & Environment. A critical vulnerability allows AI coding tools like Claude Code to execute hidden malware from GitHub repositories without verification. This grants attackers full control over developer machines. The AI boom also faces increasing environmental challenges, with severe weather posing risks to data centers. Environmental activist Erin Brockovich is campaigning against AI data centers, citing concerns over their resource consumption.
China's AI Advancement. Chinese AI models are rapidly advancing, with Zhipu AI's GLM-5.2 demonstrating bug-hunting prowess that narrows the gap with US rivals. China's large models have also maintained the global lead in API call volume for nine consecutive weeks. This indicates strong adoption and development. The emergence of Zhipingfang, an embodied AI unicorn valued at $2.8 billion, further underscores this growth.
European & Indian Tech. European deeptech investment has reached an annual record in just six months, reflecting robust investor confidence. London-based Gaussion, focused on energy intelligence for battery packs, raised €24.5 million. Cybersecurity VC firm Osney Capital closed an oversubscribed €69 million debut fund. In India, fintech platform PayU India achieved adjusted EBITDA profitability in FY26, and broking giant Zerodha is expanding into investment banking.
Samsung and SK Hynix plan $590 billion chip investment as AI demand sends memory prices soaring
Samsung and SK Hynix, backed by the South Korean government, are investing $590 billion into new chip factories and packaging centers. This move responds to surging AI data center demand, with memory prices expected to climb up to 50% per quarter through 2027.
Claude Code runs a GitHub repo's hidden malware without verification, giving attackers full control
Security researchers at Mozilla's 0DIN platform demonstrated how AI coding tools like Claude Code can run hidden malware from a compromised GitHub repository. The malicious code loads at runtime via a DNS query, making it invisible to scanners and the AI agent itself.
The AI boom is colliding with a new threat: severe weather
Heatwaves and severe weather are increasing risks for AI data centers, leading to grid strain and higher insurance and repair costs. This climate impact poses a growing challenge to the expanding AI infrastructure.
Erin Brockovich on her battle against AI datacentres
Environmental activist Erin Brockovich is now targeting AI data centers, citing concerns over their substantial water and energy consumption. Her campaign highlights the growing environmental impact of the AI industry.
Chinese AI model’s bug-hunting prowess narrows gap to US
Beijing-based Zhipu AI's GLM-5.2 model has shown strong performance in cybersecurity tasks, matching or exceeding Anthropic's Claude Opus 4.8 in benchmarking tests. This demonstrates China's progress in developing advanced AI capabilities.
China's AI Large Model API Calls Lead Globally for Nine Consecutive Weeks
Chinese AI large models have maintained the global lead in API call volume for nine straight weeks, with DeepSeek-V4-Flash, MiMo-V2.5, and MiniMax M3 topping the charts. This indicates robust adoption and development within China's AI ecosystem.
Zhipingfang Hits $2.8B Valuation as Brain-Like AI Era Dawns
Embodied AI company Zhipingfang has completed approximately 5 billion yuan in new funding, pushing its total valuation past 20 billion yuan ($2.8 billion). The company is pioneering brain-inspired NeuroVLA architecture.
London-based Gaussion raises €24.5 million for energy intelligence technology
Gaussion, a London-based DeepTech company focused on energy intelligence technology for battery packs, closed a €24.5 million ($28 million) funding round. This brings their total funding to over €38 million ($44 million).
Osney Capital closes oversubscribed €69 million debut fund for cybersecurity
UK venture capital firm Osney Capital announced the final close of its debut fund, oversubscribed at its €69 million (£60 million) hard cap. This establishes it as one of the UK’s first cybersecurity Seed funds.
China’s DJI, Insta360 tighten grip on global smart camera market with supply chain edge
DJI and Insta360 now account for nearly 90% of worldwide shipments of handheld smart cameras, squeezing out US pioneer GoPro. This dominance is driven by growing demand for pocket-sized imaging gadgets and a strong supply chain edge.
Huawei Mate 90 Series Set for September Launch with Kirin 2026 Chip
Huawei's Mate 90 series is confirmed for a September launch, debuting the Kirin 2026 chip with logic folding technology and HarmonyOS 7. The new series aims to challenge Apple's iPhone 18 lineup.
Trump bought as much as $5 million in Axon stock before ICE sought $220 million Taser deal
Donald Trump purchased up to $5 million in Axon stock shortly before ICE pursued a potential $220 million Taser deal with the company. Axon Enterprise has increased its lobbying efforts in Congress regarding federal law-enforcement technology.
Prosus India posts $781 Mn revenue in FY26; turns adjusted EBITDA positive
Prosus' India business reported a 13% year-on-year revenue increase to $781 million in FY26, driven by its fintech platform PayU. The ecosystem achieved an adjusted EBITDA profit of $18 million, reversing a $25 million loss from the previous year.
Zerodha Seeks SEBI Approval To Enter Investment Banking
Broking giant Zerodha is expanding its financial services portfolio by seeking approval from SEBI to enter investment banking. The Bengaluru-based company filed its application in April.