Could our smart assistants finally be getting smart? 

Why are big LLM makers collabing with the feds? 

And what’s this whole strawberry vs. Orion thing from OpenAI? 

AI news runs faster than Olympians leaning at the finish line — in a blur. 

Don’t waste hours every week spinning in circles trying to make sense of it all.

Every Monday (or, on Tuesdays when there’s a holiday. Lol!) we break down the AI news that matters. 

This week…. A ton of big stories with even bigger implications. 

Let’s unwind what happened and what it all means. 

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Amazon is reportedly gearing up to release an upgraded version of Alexa, powered by Anthropic's Claude AI model. 

(Yasssssssssssss.) 

This "Remarkable Alexa" is set to launch in October, offering AI-generated news summaries, a child-focused chatbot, and tools for conversational shopping.

The catch?

Amazon's considering a $5-$10 monthly subscription for these new features.

Initial versions reportedly struggled with user prompts and clarity, leading Amazon to seek Anthropic's expertise.

This move comes after Amazon's massive $4 billion investment in Anthropic.

A demonstration of the new Alexa is planned for Amazon's annual devices and services event this month, with an expected launch in mid-October.

What it means: 

Amazon's playing catch-up in the AI assistant game, but this move could significantly improve Alexa's capabilities.

The subscription model might be a tough sell, though, especially with free alternatives out there. 

Also, if users are already dishing out $20+ a month for AI assistants like ChatGPT or Gemini (via Gemini Live) that have a smart assistant built in, are they really gonna fork over more cash for the Alexa/Claude collab? 

Our two cents — we’d love to see the reported $5-$10/mo waived if you have a Claude subscription. 

Win-win?  

Big LLMs are talking.

And the tech titans are listening. 

OpenAI is reportedly in talks with NVIDIA and Apple for a new funding round that could value the company at a staggering $100 billion.

This comes despite OpenAI's projected losses of up to $5 billion by year-end. The potential investment highlights the interconnected nature of the tech industry in AI development.

• OpenAI's reliance on NVIDIA's GPUs for training its GPT models underscores this connection.

• Meanwhile, Apple has shown interest in integrating ChatGPT into its iOS platform.

This investment could solidify OpenAI's position as an AI leader and give NVIDIA and Apple a stake in one of the most influential AI companies.

What it means: 

This potential investment is a big deal, y'all. 

It shows that even with massive projected losses, the biggest tech players see immense value in AI's future.

For businesses, it signals that AI integration isn't just a trend - it's becoming essential for staying competitive.

We might see more cross-industry collaborations and investments as AI continues to reshape the tech landscape.

Y’all seen this?

This is an AI model, rendering cult classic video game Doom …. IN REAL TIME!

Google researchers have achieved a significant milestone with GameInGen, a neural network capable of generating real-time gameplay for the classic shooter Doom without a traditional game engine.

It runs at 20 frames per second on a single TPU, demonstrating efficient 3D environment simulation with generative AI.

This marks the first instance where an AI has fully simulated a video game with high-quality graphics and interactivity, moving away from traditional game engines that require extensive coding.

The implications for the $200 billion gaming industry are profound, as AI-driven engines could drastically reduce development time and cost.

What it means:

The future could be wild.

This breakthrough could revolutionize not just gaming, but entire industries relying on real-time 3D simulations.

We're talking personalized video games, interactive movies, and training simulations that adapt on the fly.

For businesses, it could mean faster, cheaper development of visual products and simulations. The line between virtual and reality just got a whole lot blurrier, shorties

Cut now, grow later?

Klarna, the buy-now-pay-later firm, plans to reduce its workforce from 3,800 to 2,000 employees by leveraging AI in marketing and customer service.

This follows a previous reduction from 5,000 to 3,800 over the past year. 

Klarna's CEO stated that the job cuts would allow the company to increase salaries for remaining employees.

The company's recent financial results showed a 27% revenue increase, reaching $1.3 billion, attributed to efficiencies gained through AI investments.

This move comes as Klarna is reportedly preparing for a public listing.

What it means:

Yikes?

Klarna's strategy could be a glimpse into the future of work, and it's looking... complicated like Avril Lavigne lyrics.

While previous Klarna cuts have led to increased revenue, it raises serious questions about AI's impact on employment.

We might see more companies follow suit, using AI to streamline operations and cut costs.

The challenge will be balancing efficiency with social responsibility and managing the workforce transition in the AI era.

Big tech LLM makers 🤝 U.S. Government.

OpenAI and Anthropic have announced agreements to provide the U.S. government with early access to their upcoming AI models.

Both companies have signed a memorandum of understanding with the U.S. Artificial Intelligence Safety Institute, part of the National Institute of Standards and Technology (NIST).

This collaboration is particularly noteworthy as governments worldwide are increasingly focusing on regulating these powerful AI algorithms.

The US AI Safety Institute was established following President Biden's executive order on AI, emphasizing the government's commitment to more responsible AI development.

What it means:

This one’s a little sticky.

This partnership could shape the future of AI regulation and development in the U.S.

It's a delicate dance between innovation and oversight, and how it plays out could set the tone for AI governance worldwide.

For businesses, it signals the need to stay ahead of potential regulations and prioritize responsible AI development.

The era of unchecked AI growth might be coming to an end, y'all.

What are your thoughts? Hit us with a reply. We’d love to hear.

And speaking of government oversight…… 

The California state assembly has passed SB 1047, a significant proposal aimed at regulating advanced AI models, with a vote of 48 to 16.

The bill includes provisions for whistleblower protections and mandates safety plans for AI companies spending over $100 million on model training.

Despite its 70% approval rate among Californians, the bill faces strong opposition from major tech firms and prominent VCs who argue it could stifle innovation and hinder open-source developments.

Governor Gavin Newsom hasn't yet hinted at a decision on whether he will sign the bill, as significant lobbying efforts from the tech industry continue.

What it means:

 If signed into law, SB 1047 would mark California as the first state to implement such a robust AI liability rule. 

This could set a precedent for AI regulations across the U.S. and influence global standards. For tech companies and startups, it might mean adapting to new compliance requirements. 

The battle between innovation and regulation is heating up, and the outcome could reshape the AI landscape.

It’s the final countdown? 

Google has unveiled major updates to its Gemini AI platform, introducing features designed to improve user experience and accessibility.

The new GEMS feature allows users in over 150 countries to create specialized AI assistants for tasks like coding and marketing, similar to OpenAI's GPTs.

Google also upgraded its image generation capabilities with Imagine 3, promising higher quality images and implementing ethical safeguards like SynthID watermarking.

Additionally, they announced updates to their base models, including a smaller Gemini 1.5 Flash 8K parameter model and improved versions of Gemini 1.5 Flash and Gemini 1.5 Pro.

We covered Gems pretty in-depth here:

What it means: 

Google's not about to let OpenAI hog all the AI glory.

These updates make Gemini more user-friendly and versatile, potentially giving ChatGPT a run for its money. For businesses and developers, it means more tools and options for integrating AI into their products and workflows.

The AI arms race is heating up, and that competition could drive rapid advancements in the field.

Saving the sweet Strawberries for last.

(Whatever that means now?) 

According to The Information, OpenAI is preparing to unveil a new AI mode called "Strawberry," designed to create high-quality synthetic data for training their next large language model, codenamed "Orion" (potentially GPT-5).

Strawberry's enhanced reasoning abilities are expected to address current limitations in AI, particularly in tasks requiring symbolic reasoning and content-sensitive problem-solving.

The new program will extend beyond training Orion, capable of handling complex tasks such as devising market strategies and solving challenging word games.

OpenAI has reportedly collaborated with government agencies to ensure that Strawberry's development aligns with regulatory standards and addresses national priorities.

What it means: 

Think of Strawberry as a mode that might power the next model. 

Strawberry could represent a significant leap in AI performance, potentially impacting various sectors including education, business, technology, and customer service.

It addresses the challenge of creating new training data as existing data sources become exhausted. 

For businesses, this could mean AI systems with even more powerful reasoning and problem-solving abilities, opening up new possibilities for automation and decision-making support.

Refer Friends to Win a Year of ChatGPT!

(Or your fave LLM like Claude, Gemini, Copilot, etc)