The lunch briefing.
Mid-day check: Sony shifts to all-digital gaming, Meta expands AI compute sales, and new AI research tackles brain-to-text communication.
AI Business Models. Meta is making a significant move into the cloud business, aiming to monetize its substantial AI compute power by selling excess capacity to external customers. This strategy has already seen Meta's stock pop 10%, signaling investor approval for diversifying its infrastructure spending. However, Palantir CEO Alex Karp criticized the token model used by OpenAI and Anthropic, arguing that skyrocketing token costs are forcing companies towards open-weight models and efficiency over token-maximizing approaches. This highlights a growing tension in the economic underpinnings of frontier AI development.
AI Research & Applications. Breakthroughs in AI research continue to push boundaries, with Meta's non-invasive brain-to-text AI demonstrating significant progress in translating brain activity into typed sentences without implants. This system, using magnetic signals, is closing the gap with surgical alternatives, though clinical use remains distant. Meanwhile, Anthropic released Claude Sonnet 5, touted as its most agentic model yet, indicating a strategic shift in the AI war from simple chatbots to more capable agents. Another notable achievement saw Claude provide an "essentially correct" solution to a decades-long mathematical mystery in physics.
Digital Infrastructure & Space Policy. The rapid expansion of AI infrastructure is facing new challenges, including a surge in cargo theft targeting data center supplies like copper wires and construction materials, resulting in $1.3 million in recent heists. In space, a new ESO study suggests that no more than 100,000 satellites should orbit Earth, a limit significantly exceeded by SpaceX's plans for Starlink. Meanwhile, Microsoft has made a substantial move for developers by allowing Linux containers to run natively in Windows without third-party tools, streamlining development workflows.
Industry Shifts & Regulatory Scrutiny. Sony announced a major shift, confirming it will cease physical PlayStation game disc production for new titles starting in 2028, moving towards an all-digital future. This decision has sparked concerns among retailers and players regarding game preservation. Separately, the Spanish government has reportedly banned Palantir's use in critical state systems, while Meta lost a bid to dismiss US states' claims that Facebook and Instagram addict children.
Sony to end physical PlayStation game disc production in 2028
Sony will stop producing physical discs for all new PlayStation games beginning in 2028. The company is embracing an all-digital future.
Meta pops 10% as company makes cloud push to sell excess AI compute power capacity
Meta's stock popped 10% following news of its cloud push to sell excess AI compute power capacity. This new business is a welcome signal for some investors uneasy about the company's infrastructure spending plans.
Palantir's Karp bashes OpenAI, Anthropic token model: 'Something has gone completely wrong'
Palantir CEO Alex Karp criticized the token model used by OpenAI and Anthropic. Karp states that skyrocketing token costs are forcing companies to choose open-weight models and prioritize efficiency.
Meta's non-invasive brain-to-text AI is closing the gap with surgical implants
Meta's FAIR AI team uses Brain2Qwerty v2 to translate brain activity into typed sentences without implants or surgery. The system reads magnetic signals outside the skull and reconstructs what a person is typing.
Claude Sonnet 5 is here, and the 'most agentic Sonnet model yet' shows that the AI war is shifting from chat to agents
Anthropic has released Claude Sonnet 5, a new AI model built to act more like an agent than a simple chatbot. This release indicates a shift in the AI war towards agentic models.
AI data center supplies hit by cargo thieves — copper wires, construction materials all stolen in $1.3 million heists
Organized criminals are increasingly targeting data center cargo movements, such as copper, as theft volume and losses rise. Cargo thieves have stolen copper wires and construction materials in $1.3 million heists.
Rubin Observatory Begins Its 10-Year Survey of the Universe
The Rubin Observatory has begun its 10-year survey of the universe. Using the world’s largest digital camera, it will create the most comprehensive record of the universe to date.
NASA inspector general suggests Boeing's Starliner will now be a decade late
NASA's inspector general suggests that Boeing's Starliner certification may be delayed to 2027. This would make it 10 years later than Boeing's original schedule.
Spanish government 'quietly bans use of Palantir' in critical state systems
The Spanish government has reportedly banned the use of Palantir in critical state systems. This decision was made quietly, according to reports.
Microsoft just made a huge Linux move that developers and container fans everywhere will love
Microsoft has enabled running Linux containers natively in Windows without third-party tools. This move is expected to be welcomed by developers and container enthusiasts.
ESO Study Finds That No More Than 100,000 Satellites Should Orbit Earth
An ESO study has concluded that no more than 100,000 satellites should orbit Earth. This proposed limit is far exceeded by SpaceX's plans to launch 1 million satellites.
I tried ChatGPT's new finance feature — and it opened a new window into how I spend my money
ChatGPT’s new finance feature allows users to turn personal spending data into a simple conversation. This application provides a new way to understand personal finances.
Venice AI becomes a unicorn with $65M Series A as its privacy-first AI platform takes off
Venice AI has achieved unicorn status with a $65 million Series A funding round. The privacy-first AI platform is already profitable, with annualized run-rate revenues exceeding $70 million.
Meta Is Slapping Subscriptions on Its Smart Glasses
Meta is introducing subscriptions for its smart glasses, which will include "rate limits" on AI features. This move is expected to impact user access to AI functionalities.