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👀 Musk asked Zuckerberg to join $97B OpenAI takeover
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- Elon Musk asked Meta CEO Mark Zuckerberg for help financing an unsolicited $97.4 billion offer to purchase OpenAI, according to a court filing from the AI company.
- The document reveals neither the chief executive nor his firm signed a letter of intent, ultimately declining to join the bid to purchase the ChatGPT maker.
- OpenAI now argues this secret request to a main rival weakens Musk's legal claims that its Microsoft partnership violated the organization’s original charitable mission.
🛑 Nvidia halts production of H20 AI chips for China
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- Nvidia directed suppliers Amkor Technology and Samsung Electronics to pause manufacturing of its H20 chips for China, following a government order for local tech companies to halt purchases.
- This directive comes as China's Cyberspace Administration reviews the H20 chips for security risks, specifically concerns that they might contain "backdoors" or tracking technology for remote operation.
- The move casts doubt on the chip's future in China, even after Nvidia CEO Jensen Huang worked to secure US export licenses and assured Beijing the hardware has no "backdoors."
⚖️ Musk and X to settle $500 million lawsuit over Twitter firings
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- Elon Musk’s X is tentatively settling a class action lawsuit from former Twitter staff who claim they did not receive the complete severance pay promised after the 2022 layoffs.
- The lawsuit argues Musk's three-month severance offer was lower than a 2019 plan that guaranteed senior employees up to six months’ base pay, plus one week per year of service.
- After a U.S. District Judge first ruled against the workers, the plaintiffs appealed, leading both parties to negotiate a deal ahead of a court of appeals hearing next month.
💥 Y Combinator backs Epic in appeal against Apple
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- Y Combinator filed an amicus brief stating Apple's 27% fee on external transactions was a penalty meant to inhibit competition, which the court's recent Enforcement Order correctly identified and stopped.
- The startup accelerator claims the Link Entitlement Program's commission would have deterred investors from backing new app-based companies, resulting in fewer American businesses being created in the future.
- The filing disputes the value of the App Store Small Business Program, arguing startups seek exponential growth, making the temporary 15% fee a rounding error for their long-term business models.
🔄 Bank rehires workers replaced by AI after "lying" about chatbot success
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- The Commonwealth Bank of Australia fired 45 workers, claiming its new AI chatbot had reduced call volumes by 2,000 a week, a statement employees called "an outright lie."
- In reality, call volumes were increasing at the time, forcing the bank to offer staff overtime and even have management help answer the phones just to keep up with demand.
- After being brought to a fair work tribunal, the bank admitted the roles were not redundant, apologized, and offered to rehire the workers or provide them with exit payments.
🏛️ Google launches Gemini for government at 47 cents
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- The General Services Administration announced that federal agencies can now access Google's suite of artificial intelligence services, called Gemini for Government, for only 47 cents each through 2026.
- The GSA previously added Google’s Gemini, OpenAI’s ChatGPT, and Anthropic’s Claude to its purchasing system, following moves by competitors to offer their AI products to the government for $1.
- Building on a past discount for its Workspace tools, Google’s new offer gives federal employees access to tools like NotebookLM and Veo, which are powered by its latest models.
☁️ Meta clinches mega $10 billion cloud deal with Google
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- Meta has agreed to a six-year deal to spend at least $10 billion on Google Cloud services, marking the first major cloud partnership between the two technology industry giants.
- The company plans to use Google Cloud servers and storage to support its AI infrastructure, despite also investing heavily in building out its own collection of over 20 data centers.
- This agreement adds Google to Meta’s existing multicloud strategy for external capacity, as the social networking giant already works with cloud competitors like AWS and Microsoft Azure for services.
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