Google's AI Push Dominates as Databricks Makes $1B Acquisition
While others read about AI news, you'll know exactly what to do about it
Today’s Briefing:
In today's newsletter:
Databricks acquires Neon for $1 billion
TensorWave raises $100M for AMD-powered cloud
Google expands AI Mode search access
TikTok launches AI Alive image-to-video tool
Google launches "AI Accelerator Fund" to back promising startups
Day 2 of our 3-Day Guide to Coding with ChatGPT
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Markets
Major Investments & Acquisitions
Databricks acquires Neon for $1 billion. Data and AI company Databricks is purchasing open-source database startup Neon, further consolidating the AI infrastructure landscape. Read more
TensorWave raises $100M for AMD-powered cloud infrastructure. This represents another significant investment in AI computing alternatives to Nvidia's dominant platforms. Read more
Google launches "AI Accelerator Fund" to back promising startups. The tech giant announced a $500 million initiative to invest in early-stage AI companies, with a focus on developers building on Google's AI infrastructure. Read more
NVIDIA partners with Yum! Brands to implement AI technologies that will "reinvent" the quick-service restaurant industry, bringing AI to KFC, Taco Bell, and Pizza Hut locations. Read more
Perplexity AI seeks $14 billion valuation in a fresh funding round, according to the Wall Street Journal, highlighting continued investor confidence in AI search alternatives. Read more
Product Launches & Technology Updates
Google I/O 2025 showcases next-generation AI tools. The annual developer conference revealed major updates to Google's AI lineup, including a new multimodal Gemini Ultra model and advanced AI features coming to Android and Workspace applications. Read more
Google expands AI Mode search access. Google has announced that "Anyone in the U.S. can now get immediate access to AI Mode in Labs," with plans to replace the iconic "I'm Feeling Lucky" button. Read more
TikTok launches AI Alive image-to-video tool. The new feature converts still images into videos, adding to the growing array of AI-powered creative tools on social platforms. Read more
Researchers develop human-like robotic hand. The breakthrough in AI-powered robotics can "pick up 24 different objects with human-like movements that emerge spontaneously." Read more
Google's Gemma AI models reach 150M downloads, indicating significant adoption of lightweight AI alternatives. Read more
Apple plans AI-powered battery management for iOS 19, scheduled for release in September 2025, addressing iPhone battery life concerns. Read more
Industry Shifts & Strategic Moves
Anthropic and Google win legal client from OpenAI. Harvey, a legal AI startup previously aligned with OpenAI, has switched to Anthropic and Google, suggesting shifts in the competitive AI provider landscape. Read more
Trump administration rescinds Biden's AI diffusion rules, potentially changing the landscape for AI technologies globally. Read more
Microsoft and OpenAI renegotiating partnership. The companies are reportedly engaged in "a tough negotiation," with Microsoft potentially giving up equity in exchange for extended technology access beyond the current 2030 cutoff. Read more
Chegg announces layoffs due to AI disruption, planning "to lay off 22% of workforce as AI tools shake up edtech industry." Read more
Apple explores AI search alternatives to Google. Apple's services chief Eddy Cue testified that the company expects "to add artificial intelligence services from OpenAI, Perplexity and Anthropic as search options in Apple's Safari browser." Read more
Policy & Governance
UN holds 'killer robot' talks. Nations are meeting at the United Nations for discussions on AI weapon regulation as current frameworks struggle to keep pace with rapidly advancing military AI applications. Read more
Trump fires Copyright Office director following a report that raised questions about AI training, potentially signaling shifts in policy regarding AI and intellectual property. Read more
Saudi Arabia launches AI company to develop and manage artificial intelligence technologies under Crown Prince Mohammed bin Salman, coinciding with visits from tech leaders including Trump, Musk, Altman, and Zuckerberg. Read more
Federal Reserve addresses AI and labor markets. Governor Michelle Barr delivered a significant speech on how AI will "affect workers and the labor market in the years ahead," indicating growing central bank attention to AI's economic impacts. Read more
Analysis
Today's developments reflect the accelerating pace of both consolidation and innovation in the AI sector. Databricks' $1 billion acquisition of Neon highlights how established AI companies are vertically integrating database technologies to strengthen their infrastructure offerings. Meanwhile, TensorWave's $100 million funding for AMD-powered cloud infrastructure signals growing interest in alternatives to Nvidia's dominant AI hardware ecosystem.
Google's multi-pronged AI strategy is particularly notable today, with the company simultaneously expanding its AI Mode search access, launching a major startup fund, and unveiling new developer tools at Google I/O 2025. This comprehensive approach reflects the company's determination to maintain leadership across multiple AI domains.
The Trump administration's decision to rescind the previous administration's AI diffusion rules marks a significant policy shift that could reshape global AI development and competition. This move aligns with broader changes in AI governance, as evidenced by the president's firing of the Copyright Office director over AI training questions.
The competitive landscape continues to evolve, with Anthropic and Google scoring a win by attracting Harvey, a legal AI startup previously aligned with OpenAI. This shift, combined with the reported renegotiations between Microsoft and OpenAI, suggests ongoing realignment of strategic partnerships in the AI space.
Worth watching: The expansion of AI into practical applications across diverse industries, from Yum! Brands' restaurants to Apple's battery management. These implementations demonstrate AI's evolution from experimental technology to practical business solutions addressing tangible problems. However, Chegg's layoffs due to AI disruption serve as a reminder that this transition will create both winners and losers in established industries.
Recommended Reading
"Teach AI to Work Like a Member of Your Team" - Harvard Business Review Read more
Summary: This timely HBR article explores how organizations can effectively integrate AI tools into existing team workflows. Through a case study of a Fortune 500 retail company implementing AI for contract drafting, the authors demonstrate that simply providing AI tools isn't enough - they must be customized to match how teams actually work. The article presents a three-step approach: mapping current workflows with a "work graph," using these insights to fine-tune AI tools to team processes, and implementing continuous refinement. Written by industry experts including the CEO of Cognizant and researchers from WorkFabric AI, the piece offers practical guidance for leaders looking to maximize AI investments by aligning them with team dynamics rather than forcing workflow changes to accommodate generic AI capabilities.
Build with AI: A 3-Day Guide to Coding with ChatGPT
Day 2: Building Core Functionality
Build with AI: A 3-Day Guide to Coding with ChatGPT Part 2: Implementing the Core Functionality
Yesterday we established the foundation for our File Renamer project. Today, we'll build the essential components that power our tool.
Day 2 Tasks
Directory Scanning Function Ask ChatGPT to write a Python function that scans a directory and returns all files, with options to filter by file type. The function should validate paths, filter file extensions, and potentially handle subdirectories. After receiving the code, ask for explanations about how it handles different file types and what happens if the directory doesn't exist.
Pattern-Based Renaming Logic Request a function that generates new filenames based on patterns like 'date-project-description.extension'. This should handle date formatting, string sanitization, and extension preservation. Follow up with questions about extracting creation dates from files and techniques for preventing invalid characters in filenames.
File Transformation Function Ask for a function that safely renames files using the pattern function while avoiding name collisions. This needs to include duplicate prevention, permission checks, and original file preservation.
Testing the Components Create simple test cases to validate the functionality with a small set of files and confirm appropriate validations are in place before performing actual renames.
Implementation Notes
For each code segment, ask specific questions about parts you don't understand. Focus on the libraries being used, how the code handles edge cases, and where you might need to modify it for your specific use case.
Adaptation Examples
For no-code users, this approach works for creating script actions in automation tools. Designers can add image dimension detection for more intelligent naming. Agencies can extend with client/project tagging capabilities. Developers can implement batch processing with logging features.
Part 3 on Friday: Refinement & Practical Applications In Part 3, we'll add a user interface, advanced error handling, and explore how to adapt this tool for specific workflow requirements.
Featured Prompt
File Renamer Core Implementation
Following our File Renamer planning, I need implementation guidance for the [specific component]. Please provide Python code for: Directory Processing (with filtering options), Pattern Generation (using variables like date and project name), Transformation Logic (with safety checks), and Error Handling (for common issues). Include practical code examples that demonstrate proper file handling and string manipulation. Explain how these functions would interact within the overall application and how they might be optimized for [your specific workflow].Tools
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Marc Benioff, CEO of Salesforce
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