Amazon Q2 earnings outperformed analyst expectations, but a strong performance wasn’t enough to quell market fears in light of a gloomy forecast and Amazon Web Services growth seen as anemic, at +17.5 percent, which was slower than the expansion of its competitors Microsoft Azure (+39 percent) and Google Cloud (+32 percent). Amazon’s Q2 profit was $18.2 billion, up nearly 30 percent on revenue of $167.7 billion, a 13 percent gain year-over-year. Advertising income of $15.7 billion was almost $1 billion more than StreetAccount’s estimate of $14.9 billion. But for the current quarter, Amazon estimated operating income between $15.5 billion and $20.5 billion. Continue reading Amazon Profit Is Up 30 Percent, but Forecast Spooks Market

Meta Platform reported another strong quarter, with profit up 36 percent to $18 billion on revenue of $47.5 billion, a 22 percent increase. Justifying to investors why the company spent billions restructuring AI operations as part of the new AI Superintelligence Lab and recruiting talent to run it, company CEO Mark Zuckerberg emphasized his desire “to build personal superintelligence for everyone in the world.” Zuckerberg said he believes AI superintelligence “has the potential to begin an exciting new era of individual empowerment.” Meta plans to more than double spending to build AI infrastructure, including server-filled data centers, and initiatives supporting model training and cloud computing. Continue reading Meta Profit Is Up 36 Percent, Fueling Superintelligence Race

The $88 billion Microsoft invested in building data centers for artificial intelligence and cloud computing over the past year seems to be paying off with the company reporting profit of $101 billion for fiscal year 2025, which ended June 30. Quarterly revenue for the April through June period was $76.4 billion, up 18 percent year-over-year, with profit of $27.2 billion, a 24 percent increase. “Cloud and AI is the driving force of business transformation across every industry and sector,” said Microsoft Chairman and CEO Satya Nadella, noting Azure passed $75 billion in revenue for the year, up 34 percent. Continue reading Driven by AI and Cloud, Microsoft Profit Exceeds $100 Billion

Amazon’s Alexa Fund VC has made an investment in San Francisco-based startup Fable, which this week launched Showrunner, a generative AI model with an app that lets people create animated TV shows using text prompts. Showrunner has been in a closed alpha test involving about 10,000 users. Initially, Fable is making Showrunner available for free, but plans to eventually price it at $10-$20 monthly for credits enabling creation of TV-style content on Discord. The Showrunner-generated content will be shareable on social media sites including YouTube. Specific terms of Amazon’s investment have yet to be disclosed. Continue reading Amazon Invests in Fable, Creator of the ‘Showrunner’ AI App

New York-based Runway AI has introduced a sophisticated video model called Aleph that can perform a wide range of edits from text prompts — adding, removing and transforming objects; generating various angles on a scene; or modifying style and lighting, among other things. Aimed at streamlining post-production, Runway calls Aleph an “in-context video model,” meaning it is designed to work with existing visual material rather than generating imagery from scratch. Using Aleph puts storytellers just a prompt or two from turning that wide shot into an extreme close-up, or adding a new “next shot,” providing what Runway calls “endless coverage.” Continue reading Runway Aleph Provides Video Editors with ‘Endless Coverage’

Google’s YouTube is adding new age-verification methods designed to protect teens. The streaming video platform is using AI to interpret “a variety of signals” to identify users under 18, regardless of the birthdate used to create the account. If the system identifies a user as a teen, age-appropriate protections will automatically take effect. These include disabling personalized advertising, restricted recommendations, limits on repetitive viewing of certain content and screen-time reminders. If the system incorrectly categorizes a user as under 18, they will have the option to correct the situation with a credit card or a government ID. Continue reading YouTube Deploying AI to Identify and Safeguard U.S. Minors

Tesla has selected Samsung to manufacture its new A16 system-on-a-chip, developed by the carmaker for its next-generation artificial intelligence applications, including for autonomous driving, Optimus robots and AI data centers. The multiyear deal is reportedly worth $16.5 billion to Samsung and represents a major win for its foundry division. The South Korean company’s soon-to-open plant in Taylor, Texas will focus on making Tesla’s new AI6 chip, according to Tesla CEO Elon Musk. Samsung began producing Tesla’s A14 chip in 2023, but the A15 contract went to TSMC, which is in the testing phase using its 3nm N3P process. Continue reading Samsung Inks $16.5 Billion Deal to Produce Tesla’s A16 Chip

At the World AI Conference that opened in Shanghai on Saturday, Huawei emerged as China’s best hope for driving a domestic hardware sector for advanced artificial intelligence workloads. There, Huawei debuted its CloudMatrix 384 AI system, powered by 384 of its high-performance processors, the Ascend 910C GPUs. The setup has drawn favorable comparisons to Nvidia’s flagship supercomputing platform, the GB200 NVL72, a rack-scale solution for on-site AI and HPC tasks. Huawei’s new hardware reportedly drew large crowds to its booth, but the company declined to share detailed comments or live benchmarks, suggesting a tightly controlled public presentation. Continue reading Huawei May Challenge Nvidia with Its CloudMatrix AI System

Google has added new AI features to Google Photos and YouTube Shorts. Having previously introduced generative backgrounds, YouTube Shorts now has a photo-to-video feature, as well as a variety of menu-driven effects accessible via the Shorts camera that aim to advance social media or arts project creativity — things like turning line drawings into watercolors, putting a selfie “underwater” or adding a digital twin. And Google Photos, available on just about every Android phone, now also has the ability to turn stills to video. For now, both rely on the Veo 2 video model rather than Veo 3, launched in May. Continue reading Google Photos, YouTube Shorts Offer New AI Creation Tools

Google has added a new AI search tool called Web Guide. A Google Search Labs experiment, Web Guide will “intelligently organize” results pages according to specific aspects of the user’s query. Web Guide implements a custom version of Gemini AI “to better understand both a search query and content on the web” for what Google calls a “more powerful” search that enhances discovery of more on-point but obscure pages. Like AI Mode, a Google Labs experiment launched in March, Web Guide uses a query fan-out technique, “issuing multiple related searches to identify the most relevant results.” Continue reading Web Guide Is Google Search Labs Latest Gemini Experiment

According to PwC’s latest Global Entertainment & Media Outlook, M&E revenues are expected to hit $3.5 trillion by 2029, led by advertising, live events and video games. The report also offers a positive outlook for streaming video, OTT, subscription VOD, theatrical box office, with numerous M&E areas impacted by the adoption of artificial intelligence. Streaming video is expected to jump 33 percent to more than $112 billion by 2029, while global revenue for video games is forecast to reach $300 billion in 2029, up 29 percent from $224 billion in 2024. Of three major categories analyzed — connectivity, advertising and consumer — advertising is expected to grow the fastest. Continue reading PwC Eyes Growth for Ads, Events, Gaming, Streaming Video

Alibaba’s Qwen team has launched Qwen3-Coder, which it calls its “most agentic code model to date.” While it will be made available in multiple sizes, the most powerful variant — Qwen3-Coder-480B-A35B-Instruct — is being released first. The 480 billion parameter mixture-of-experts model has 35 billion active parameters supporting a context length of 256,000 tokens natively and 1 million tokens with extrapolation methods for “exceptional performance in both coding and agentic tasks,” explains the group, which claims the quasi-open source model has agentic coding, agentic browser use, and agentic tool use comparable to Anthropic’s proprietary Claude Sonnet 4. Continue reading Alibaba Is Rolling Out Its ‘Most Agentic Code Model to Date’

Multinational retail giant Walmart has created dozens of AI agents in the past months. Now the company is overhauling how the agents are organized in hopes of making them easier to use. The AI assistants will be sorted into four categories of “super agents” designed to interact with customers, vendors, retail employees and software engineers. The vendor category will serve both Walmart’s suppliers and third-party merchants who have digital storefronts at Walmart.com. According to the retailer, each group of super agents will draw on the capabilities of multiple behind-the-scenes agents and present them to users via a unified interface. Continue reading Walmart AI Super Agents Organized to Improve Ease-of-Use

Startup Decart AI is showcasing MirageLSD, a “world transformation model” that can change the look of a camera feed, recorded video or game in real time. Built on the company’s Live-Stream Diffusion (LSD) model, Mirage debuted last week as a demo on the company website with iOS and Android apps scheduled for release this week. Mirage makes it possible to manipulate video continuously, in real time with zero latency. The technology has created buzz as a potential disruptor in the live-streaming space, and it looks like it could be an impactful special effects tool as well. Continue reading Decart AI’s Mirage Transforms Live-Stream Video in Real Time

Oracle and OpenAI have confirmed the $30 billion per year AI data center contract reported earlier this month. The deal will provide OpenAI’s Stargate project with 4.5 gigawatts of additional data center capacity in the U.S. Oracle is a Stargate partner and has been working in partnership with OpenAI on the Stargate I site, coming online in Abilene, Texas. “This additional partnership with Oracle will bring us to over 5 gigawatts of Stargate AI data center capacity under development, which will run over 2 million chips,” OpenAI explains. The “investment will create new jobs, accelerate America’s reindustrialization, and help advance U.S. AI leadership.” Continue reading OpenAI and Oracle Confirm $30B Annual Data Center Contract