OPENAI STRIKES UNPRECEDENTED CLOUD DEAL WITH $GOOGL -- REDUCES DEPENDENCY ON $MSFT 👀
OpenAI will use Google Cloud to meet its growing compute needs, marking a move to diversify beyond Microsoft. The deal, finalized in May, also ties into its Stargate data center project. – Reuters
The @AI boom means the world’s datacenters use more electricity than almost every country.
As the chart below shows, electricity used by data centers alone, already as much as that of Germany or France, would by 2030 be comparable to that of India, the world's third-largest electricity user. This would also leapfrog over the projected consumption by electric vehicles, using 1.5 times as much power than EVs by the decade’s end. Data center energy consumption is growing fastest in the United States, home to the world’s largest concentration of centers. Power needed for US server farms is likely to more than triple, exceeding 600 terawatt-hours by 2030, according to a medium-demand scenario projection by McKinsey & Co. The boom in building new warehouses for data stored in the cloud and answering AI queries underscores the urgency for policymakers, who need effective energy strategies to ensure adequate supplies can meet surging demands. Increasing electricity demand from the technology sector will stimulate overall supply, which, if responsive enough, will lead to only a small increase in power prices. More sluggish supply responses, however, will spur much steeper cost increases that hurt consumers and businesses and possibly curb growth of the AI industry itself. Source: IMF
Chip companies are eventually going to be banned entirely from working with China in the next 3.5 years.
Source: Spencer Hakimian, FT
NVIDIA $NVDA CEO JENSEN HAUNG JUST SHARES HIS THOUGHTS ON US EXPORT CONTROLS FOR AI:
"The question is not whether China will have AI. It already does. The question is whether one of the world's largest AI markets will run on American platforms. Shielding Chinese chipmakers from US competition only strengthens them abroad. Weakens America's position. Export restrictions have spurred China's innovation and scale. The AI race is not just about chips. It's about which stack the world runs on." "The US has based its policy on the assumption that China cannot make AI chips. That assumption was always questionable, and now it's clearly WRONG. China, has enormous manufacturing capability. In the end, the platform that wins the AI developers wins AI. Export controls should strengthen US platforms not drive half of the world's AI talent to rivals" Source: Evan on X
Four of Europe’s oldest industrial groups have added more than €150bn to their market caps on the back of soaring demand for data centres driven by the boom in artificial intelligence.
European makers of everything from switches to smart meters are providing the servers and infrastructure that power data centres for large language models and cloud computing, with traditional makers of electric equipment such as Legrand doubling their revenues thanks to data centres in recent years. Link to article 👉 https://lnkd.in/d8wsidBb Source: FT
BREAKING: OpenAI and $NVDA unveil “UAE Stargate”
• Massive 5 GW AI campus planned for Abu Dhabi • 200 MW AI cluster set to launch in 2026 • Oracle, SoftBank, and Cisco onboard to help build out the datacenter infrastructure Source: Stocktwits
PAYPAL JUST INTEGRATED WITH PERPLEXITY’S CHAT --
TURNING AI SEARCH INTO A SHOPPING, TRAVEL & TICKETING PLATFORM Source: CNBC, Shay Boloor
OPENAI IN TALKS WITH $MSFT TO SECURE FUNDING & PAVE PATH TO IPO 😳
OpenAI and Microsoft are rewriting the terms of their multibillion-dollar partnership in a high-stakes negotiation designed to allow the ChatGPT maker to launch a future IPO, while protecting the software giant’s access to cutting-edge artificial intelligence models. Microsoft, OpenAI’s biggest backer, is a key holdout to the $260bn start-up’s plans to undergo a corporate restructuring that moves the group further away from its roots as a non-profit with a mission to develop AI to “benefit humanity”. A critical issue in the deliberations is how much equity in the restructured group Microsoft will receive in exchange for the more than $13bn it has invested in OpenAI to date. Source: Shay Boloor @StockSavvyShay, FT
