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Tech News Briefing is your guide to what people in tech are talking about. Every weekday, we’ll bring you breaking tech news and scoops from the pros at the Wall Street Journal, insight into new innovations and policy debates, tips from our personal tech team, and exclusive interviews with movers and shakers in the industry.
A new generation of AI-powered applications is offering mental health support, ranging from providing a sympathetic ear to relationship advice. These tools aim to address the nationwide shortage of therapists, but raise questions about the level of trust individuals should place in technology during personal crises.
An increasing number of people are turning to AI tools for mental health support, with companies developing specialized chatbots to meet this demand. These apps offer accessibility and immediate responses for individuals facing life's stresses or mental health challenges.
Slingshot AI, co-founded by Neil Parekh in 2023, has developed a chatbot named Ash to offer instant mental health support. The app is designed to help users process their problems and is available anytime, addressing a key issue of accessibility in mental healthcare.
A significant portion of therapists report that their patients are using general AI chatbots like ChatGPT and Gemini for emotional support and to assist with treatment. Jennifer Millier, an attorney, shared her experience using ChatGPT for information related to her breast cancer diagnosis.
Families are filing lawsuits against tech companies like OpenAI, claiming their AI chatbots, including ChatGPT, have negatively impacted users' mental health and even contributed to suicides. Character AI has also agreed to settle lawsuits related to its AI's alleged role in mental health crises among young people.
Karthik Sarma, a psychiatrist and researcher, expresses concern that general AI chatbots could harm vulnerable individuals, and that the companies behind them may not be equipped to prevent such harm. He emphasizes the importance of licensed and educated professionals in providing mental health services due to the real risks involved.
The AI therapy industry is experiencing rapid growth, with estimates suggesting at least 100 AI bots specifically designed for mental health. These range from employer-provided services to numerous standalone apps, indicating a significant expansion in the availability of AI-driven mental wellness tools.
Prediction market platform Kalshi plans to seek approval for the US's first regulated perpetual futures tied to single stocks like Tesla, Apple, and Nvidia. These contracts, known as perps, allow traders to bet 24/7 with leverage. Kalshi intends to offer around 60 perps linked to major ETFs and large-cap stocks.
California Governor Gavin Newsom has signed 13 new laws aimed at enhancing child protection online. These regulations include prohibiting social media platforms from using 'addictive features' for users under 16, introducing rules for AI chatbots, and strengthening privacy protections.
The UK's gross domestic product unexpectedly rose by 0.4% in July, surpassing economists' predictions. The Office for National Statistics indicated that computer programming, particularly activities related to AI and cloud computing, was a significant contributor to this growth.
Coinbase Global, the largest US crypto exchange, has filed paperwork that could enable it to offer single-stock perpetual futures. This move follows Kalshi's reported plans to seek approval for similar regulated products.
Anthropic has reported that Chinese AI companies, including Moonshot AI and DeepSeek, allegedly attempted to clone American AI models. This was reportedly done by routing millions of real user queries through intermediary platforms to Anthropic's Claude, some of which contained sensitive data like passwords. The report also noted increasing evidence of Claude being used for criminal hacking and potentially dangerous biological research, with OpenAI observing similar query types.
Boston Scientific announced it has restored its manufacturing, order fulfillment, and shipping operations following a cyberattack last month. The company stated that products are now moving through its distribution network at or above normal levels, as it works to clear backlogs. Previously, the firm indicated it would likely miss its third quarter and full-year financial guidance due to the hack.
French AI startup Mistral is forming a partnership with American data firm Claudera to broaden its enterprise client base, focusing on regulated sectors like finance, healthcare, and government. The collaboration aims to address the increasing demand for sovereign AI, particularly in Europe. Mistral's models will be integrated into Claudera's hybrid data platform, allowing clients to deploy and train AI securely using their own data.
Anthropic has granted the European Union's cybersecurity authority, ENISA, access to its powerful Mythos AI model. This follows months of discussions and a previous move by the Trump administration to restrict foreign access due to national security concerns. ENISA has been testing the model and also gained access to two other open AI models.
AI chip startup Positron has successfully raised $875 million, achieving a valuation of $5 billion. This represents a significant increase from its previous funding round in February, where it was valued at $1 billion. The company, based in Reno, Nevada, focuses on designing hardware to accelerate AI model performance.
Examer Energy is collaborating with aerospace and defense company RTX to develop pulsed laser weapons capable of neutralizing threats like drone swarms and missiles. The companies have secured a $50 million development agreement and aim to have a prototype ready for initial demonstration within two years. This initiative combines advancements in laser fusion technology with the need for cost-effective defense against modern aerial threats.
U.S. prosecutors will deliver their opening statements today in Brooklyn for a criminal trial against technology giant Huawei. The company is accused of systematically stealing trade secrets from American companies and misleading banks about its business dealings in Iran and North Korea. This marks a rare instance where U.S. prosecutors are putting a corporation on trial, rather than individual employees.
U.S. security agencies have accused six Chinese AI companies of systematically exploiting American AI models to train their own systems. The agencies described these activities as "aggressive, malicious, and targeted distillation activities at an industrial scale." Chinese officials have denied these accusations, calling them false smears.
Google announced plans to invest over $15 billion to develop AI infrastructure in Finland, marking its largest single investment in Europe. The funding will be used for data centers and other infrastructure, including clean energy projects. Google projects these facilities will support 7,000 jobs once operational.
Dan Swan, a senior partner at McKinsey, discussed the importance of human capabilities in leveraging AI tools. He emphasized that the focus is shifting from pure analysis to skills like prompting AI for the right outcomes. Swan believes that aligning an organization's operating model and employee capabilities with AI technology is crucial for sustained impact.
Meta has unveiled a new personal AI agent named Muse, accessible through its own app, designed to help mainstream consumers with daily tasks like online shopping and email management. The company aims to monetize its AI investments, projecting $130 billion this year, by offering Muse with tiered subscription options.
Four ex-Amazon warehouse workers have filed a class-action lawsuit accusing the company of unlawfully punishing and terminating employees for requesting pregnancy-related accommodations. The suit claims Amazon violated the Pregnant Workers Fairness Act by deducting pay or flagging workers for taking necessary medical breaks.
The Organisation for Economic Cooperation and Development reports that widespread use of AI tools on social media has contributed to a significant drop in high school reading skills worldwide. Tests of 760,000 students showed a decline in the ability to evaluate information and think critically.
Google Cloud and Accenture have partnered to create a new unit, the Accenture Gemini Enterprise Business Group, aimed at helping clients deploy Google Cloud's AI platform. As part of this collaboration, Google Cloud will train up to 1,000 Accenture engineers to work directly with clients on-site to develop AI applications using the Gemini Enterprise platform.
French AI startup Mistral AI has successfully raised approximately $3.5 billion in a new funding round, led by Samsung Electronics, which has boosted its valuation to over $24 billion. This funding round included existing investors like ASML Holdings and new backers, significantly increasing the company's valuation from its previous round which valued it at nearly $14 billion.
Medical technology firm Boston Scientific announced it will likely miss its financial guidance for the third quarter and full year due to a recent cyberattack that disrupted its operations, affecting manufacturing, processing, and order shipments. While the company is making progress in restoring affected systems and its distribution network, it stated the cyberattack is not expected to materially impact its long-term financial condition.
The information industry experienced its worst month in an otherwise strong August jobs report, losing 23,000 jobs. This represents a significant increase compared to the average monthly decline of 8,000 jobs over the previous 12 months. Specifically, computing infrastructure providers, data processing, and web hosting services accounted for an 8,000 job loss in August alone.
Adobe's stock fell more than 5% following the announcement that Anil Chakravarthy will become the new CEO starting in December. Chakravarthy, who previously led Adobe's customer experience division, was instrumental in developing the generative AI platform Gen Studio and Adobe CX Enterprise. This transition follows the March announcement of the previous CEO's planned departure after nearly two decades.
A shortage of memory chips attributed to AI demand is causing computer manufacturers to sell fewer PCs but at higher prices. International Data Corp. reports that worldwide PC shipments decreased by nearly 5% in the second quarter. The firm projects a 20% increase in PC prices for the current year, with continued modest growth into 2027, while shipments are expected to keep declining.
Despite a 16% decrease in unit sales, HP managed to achieve an 18% increase in PC revenue during the second quarter, a trend seen across the industry. This performance is attributed to the strategy of selling fewer PCs at higher prices, driven by AI-related memory chip shortages. Similar gains were reported by other major PC manufacturers.
Beijing-based AI startup Moonshot AI, valued at $50 billion, has confidentially filed for an initial public offering with the Hong Kong stock exchange. The company recently surprised the industry with its new large language model, Kimi K3, which rivals top-tier American offerings. The potential listing is contingent on approval from Chinese regulators.
Lawmakers are calling for increased funding for the Cybersecurity and Infrastructure Security Agency (CISA) to counter adversaries using advanced AI. This comes after Iran-linked hackers recently used AI to disrupt water and wastewater facilities. CISA's recent decision to close six regional security assessment programs and consolidate them into one has drawn criticism, especially amid reported spending and job cuts.
Activist investor Elliott Investment Management has acquired a stake in Deutsche Telekom and is advocating for a merger with T-Mobile US. Deutsche Telekom currently owns 54% of T-Mobile. Alternatively, Elliott is urging Deutsche Telekom to increase shareholder returns through larger share buybacks.
Nvidia has announced an agreement to purchase AI development platform Hugging Face for approximately $13 billion. The chipmaker aims to accelerate the adoption of open-weight, customizable AI models, contrasting with proprietary models from competitors. Hugging Face has become a key platform for machine learning collaboration.
A new Gartner survey indicates that a significant portion of corporate leaders are uncertain about the return on their AI investments. Nearly a quarter of surveyed companies reported not knowing their AI return rate, with those investing heavily not necessarily seeing the highest returns.
Ford has set an ambitious target to sell 100,000 F-150 Lightning electric trucks in the U.S. during its initial year of production. The truck is expected to launch next year with a starting price around $30,000. This sales goal is considered significant, as only Tesla has achieved such volumes for a single EV model in the U.S.
A separate Gartner survey reveals that a large majority of board directors believe AI is among the top five investments crucial for driving shareholder value. This indicates a strong strategic focus on AI integration at the highest corporate levels.
Despite uncertainty regarding return on investment, a significant majority of corporate leaders intend to increase their AI spending in the upcoming year. Approximately 85% of respondents to a Gartner survey plan to boost their AI expenditures in 2026.
New York City has implemented a one-year ban on the use of AI in public school classrooms for students from pre-school through eighth grade. The decision, announced by Mayor Eric Adams, comes as city officials plan to study the technology's impact and develop AI literacy classes for high schoolers. While chatbots will be prohibited, teachers will still be permitted to use AI for instructional planning.
German delivery company Delivery Hero has indicated its support for a $14.8 billion takeover offer from Uber Technologies. The company's management and supervisory boards have reviewed the bid and advised shareholders to accept, believing the combination could foster innovation and create opportunities for stakeholders.
Uber Technologies is laying off approximately 3,300 employees, representing about 10% of its workforce, as part of a management restructuring and division streamlining effort. CEO Dara Khosrowshahi stated in a letter to employees that the company grew rapidly, adding management layers that are now being trimmed. The savings from these layoffs are intended for reinvestment in the company's future.
OpenAI is limiting the cyber capabilities of its forthcoming AI model, Astra, due to concerns about its potential for automated cyberattacks. The company stated that internal testing revealed Astra can devise and execute novel cyberattacks with minimal human input, prompting the addition of extra security layers to prevent misuse by hackers or the AI going rogue.
Apple's new CEO, John Ternus, will receive an annual salary of $3 million along with a targeted stock award of $55 million for fiscal year 2027. This salary adjustment became effective on the day he officially assumed leadership of the company.
Following the CEO transition, former Apple CEO Tim Cook will receive an annual salary of $2 million and a targeted equity award of $45 million for the upcoming fiscal year. This compensation package was disclosed in recent securities filings.
A group of musicians, led by Jason Isbell, are suing AI music platform Sono, alleging it allows users to generate songs that mimic specific artists by simply typing their names. The lawsuit claims Sono's technology infringes on artists' names, images, and likenesses without permission.
SB Energy, an AI infrastructure platform backed by Softbank, has officially registered for an initial public offering. The company intends to raise between five and seven billion dollars, and will remain a Softbank-controlled entity.
As part of its IPO filing, SB Energy revealed that Nvidia has committed to investing three billion dollars. Additionally, OpenAI has issued warrants valued at approximately five and a half billion dollars in the company.
SB Energy's IPO filing disclosed that its data center campuses, which are key to near-term revenue, are not currently operational. Softbank and OpenAI are identified as customers at three of these campuses.
A consortium of major financial institutions including Bank of America, Citigroup, and Goldman Sachs are collaborating to launch a new stablecoin. This digital token is intended for use in cross-border transactions.
The banks involved in the new stablecoin initiative plan to establish a dedicated company to support the venture. The focus of this stablecoin will be on commercial clients, with a planned launch in the first half of next year.
Dyson has introduced its first-ever oral care product, an AI-powered toothbrush named the Dyson Camera Jet. The toothbrush is priced at $499 and utilizes a camera to analyze oral images.
OpenAI has responded to Apple's trade secret theft lawsuit, calling it baseless in a late-night filing. The AI company claims Apple's suit aims to hinder its recruitment of new employees and its development of competing technology, suggesting many accusations stem from poor offboarding procedures at Apple.
John Turness has officially become the CEO of Apple, succeeding Tim Cook after a 15-year tenure. Turness faces the challenge of positioning Apple ahead of the next technological shift, particularly in AI, where the company has lagged behind rivals like OpenAI.
Anthropic has reportedly signed a $35 billion cloud computing deal with Lambda, a provider backed by Nvidia. Nvidia itself is expected to hold the lease on the data center, which is being developed by Bitcoin miner and data center developer Hut 8 in Texas.
The complex arrangement involving Anthropic, Lambda, and Hut 8 highlights Nvidia's increasing role in providing access to its expensive computing resources for less established firms. This deal structure is seen as a way for these companies to secure necessary AI infrastructure.
A growing number of U.S. schools are implementing phone bans, with a recent study showing a significant decrease in personal phone use among students in schools that use lockable pouches. However, researchers have not yet observed measurable increases in grades or attention spans, suggesting that students may be shifting their focus to other devices like school-issued laptops.
Hawaii is attempting to diversify its economy beyond tourism by focusing on specialized tech industries like maritime technology, renewable energy, and aquaculture. State officials aim to create an 'ocean tech economy' by fostering startups that can leverage the islands' unique geographic position, despite challenges like high operational costs and population outflow.
Hawaii is considering developing an aerospace industry, with officials suggesting the state's proximity to the equator could offer advantages for launching rockets into orbit. This initiative is part of a broader strategy to diversify the state's economy beyond its reliance on tourism.
Hawaii's plan to build a tech economy faces significant challenges, including the high cost of importing necessary parts and a notable pay gap compared to mainland salaries. Officials are working to create manufacturing spaces and foster collaborative environments to encourage startups, but attracting and retaining talent remains difficult due to the disparity between high living costs and non-competitive wages.
The Hawaii Technology Development Corporation is establishing a joint manufacturing facility on Kauai to support new tech and manufacturing companies. This initiative aims to provide startups with shared space, equipment, and opportunities for collaboration to foster economic growth and diversification beyond tourism.
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