From CNBC Technology · 40 stories
TSMC to Invest Additional $100 Billion for 2nm Chip Fabs in Arizona
TSMC is set to expand its U.S. operations by investing an additional $100 billion in building at least four new advanced chip fabs in Arizona. This move aims to increase domestic production capacity amid rising U.S. demand and government support. However, challenges remain regarding the production of advanced chips and the economic impact on TSMC's margins.
Zoox Recalls Software in Robotaxis Due to Smoke Detection Issues
Zoox recalled software in 105 robotaxis following an incident where a vehicle struggled with heavy smoke at a fire scene in June. No injuries occurred, and a new update has been deployed to address the issue. This highlights ongoing safety challenges in autonomous vehicle operation and regulatory focus on their interaction with emergency situations.
UK to Enforce Opt-in Midnight Social Media Curfew for Teens by Spring 2027
The UK government has announced plans to implement a non-mandatory social media curfew for 16- and 17-year-olds, effective by spring 2027. This measure will restrict app usage from midnight to 6am, with features like infinite scrolling being disabled, aiming to improve sleep and mental health. The initiative, which can be opted out of, follows trial results showcasing benefits for teens' well-being.
Fidji Simo Steps Down from OpenAI Role Due to Health Issues; Greg Brockman Assumes Control
Fidji Simo has resigned from her position as OpenAI's AGI chief to focus on her health, transitioning to a part-time advisory role. Simo departs during a period of leadership changes within the company, as OpenAI prepares for a potential IPO. Her responsibilities have been taken over by OpenAI President Greg Brockman, indicating a strategic move amidst intensifying competition in the AI sector.
Amazon's Leo Satellite Network Surpasses 390 Operational Satellites for Initial Launch
Amazon has successfully deployed more than 390 Leo satellites, reaching an operational milestone for providing continuous internet service. This positions Amazon as a competitor to SpaceX's Starlink, despite trailing in satellite count and ahead in deployment speed. Amazon aims for commercial service availability by mid-2026, with expectations set for initial limitations in coverage and service quality.
Blue Origin Raises $10 Billion in First External Funding Round for Space Ventures
Blue Origin, founded by Jeff Bezos in 2000, is raising $10 billion in its first external funding round, valuing the company at $130 billion. Coatue Management leads with a $4 billion investment, with Bezos contributing $2 billion. This move aims to support operational readiness for its New Glenn rocket after a recent setback and to bolster its position against SpaceX.
AI Trade Drives Mixed Results in Wall Street Amid Cybersecurity Stock Rise
The stock market experienced mixed outcomes during the holiday-shortened week, influenced by AI-related trades and geopolitical tensions. The Dow Jones Industrial Average hit a record high before pulling back, while the S&P 500 and Nasdaq saw gains. Cybersecurity stocks improved with investors anticipating more AI-driven cybersecurity solutions, despite semiconductor volatility. Renewed US-Iran tensions contributed to market uncertainty.
Federal Reserve alerts on Anthropic's Mythos AI but lacks access for months
The Federal Reserve expressed concerns about Anthropic's Mythos AI model, which can identify cybersecurity vulnerabilities in financial institutions. Despite the alarm, the Fed reportedly lacked access to Mythos for over three months, leaving it exposed while other banks patched their issues.
Analysts Raise Concerns Over Cybersecurity Risks of Over-the-Air Tech in Automobiles
The growing use of over-the-air (OTA) technology in vehicles poses cybersecurity risks, with analysts urging intervention. This technology, while efficient for vehicle updates, may expose automotive systems to potential foreign cyber threats and national security issues.
Anthropic prepares for potential IPO with investor meetings scheduled
Anthropic is organizing investor meetings ahead of a potential IPO this year, showcasing its readiness for the public market. The AI firm, which gained significant valuation recently, appears set to be one of the first major players in the AI sector to go public.
Europe invests heavily in drones for enhanced military capabilities
Europe is significantly increasing drone investments in response to security needs post-Ukraine invasion. NATO, the U.K., and Germany are among key players in this shift, allocating billions for drone capabilities to reshape modern warfare.
Amazon layoffs affected 16,000 employees, reshaping job market dynamics
Amazon laid off approximately 16,000 employees in January, marking its largest cut in history. This wave of layoffs reflects a broader trend in the tech industry, where around 140,000 employees have been let go in the U.S., influenced significantly by automation and AI developments.
Meta announces $9 billion data center in Alberta, Canada for AI infrastructure
Meta is constructing its first Canadian data center in Alberta, with an estimated cost of $9 billion. This facility will enhance Meta's AI infrastructure amid increasing competition with tech giants in cloud services.
Amazon raises $25 billion in bond sale to fund AI initiatives
Amazon plans to raise at least $25 billion through an eight-part bond sale to finance its AI expansion. This follows significant previous bond raises and underscores a trend among tech firms seeking capital for AI investments.
France and India enhance AI investment through personal outreach by leaders
French President Emmanuel Macron and Indian Prime Minister Narendra Modi are actively courting tech CEOs to secure substantial AI investments. Their efforts include personal meetings with leaders from major companies like SoftBank, Amazon, and Microsoft to develop AI infrastructure in their respective countries.
Quantum Systems raises $1.2 billion, boosting valuation to $8 billion
Quantum Systems secured $1.2 billion in Series D funding, elevating its valuation to $8 billion. This investment reflects a growing trend in the defense industry, with significant capital flowing into tech-driven military solutions amid geopolitical shifts.
South Korean Investors Increase U.S. Market Exposure, Including Leveraged Products
South Korean retail investors are increasing their net purchases in U.S. markets, including U.S.-listed depositary receipts of Korean companies and leveraged ETFs, while net selling domestic stocks. This trend indicates a shift in investment location rather than a change in thematic bets, with some experts noting potential speculative excess.
Apple Opens Advanced Manufacturing Center in Houston, to Produce Mac mini and AI Servers
Apple opened its Advanced Manufacturing Center (AMC) in Houston, Texas, which will offer free training for small and medium-sized businesses. The facility, where Apple's advanced AI servers are already built, will also begin manufacturing Mac mini computers later this year. Apple CEO Tim Cook stated the company invested hundreds of millions of dollars into the facility.
Databricks Secures $5 Billion Funding Round at $190 Billion Valuation
Databricks has completed a $5 billion funding round, valuing the company at $190 billion. The company plans to use the capital to expand its enterprise AI capabilities, including its Unity AI Gateway governance tool and Genie agentic tool. This funding follows a previous $5 billion round six months prior and comes as Databricks reported crossing $7 billion in revenue run rate.
Cerebras Stock Falls 14% After Q2 Revenue Miss, Despite Raised Full-Year Outlook
Cerebras Systems' stock dropped 14% in extended trading following its second earnings report post-IPO, as the company reported Q2 revenue of $180 million, missing analyst expectations of $194 million. Despite this, Cerebras raised its full-year core revenue outlook to $880-$890 million and saw a 281% increase in AI cloud services revenue, indicating a shift towards services over hardware sales.
Manus to become independent after Chinese regulators unwind Meta's $2 billion acquisition
Manus, an AI startup, will resume independent operations after Chinese regulators mandated Meta unwind its $2 billion acquisition. This decision, issued by the National Development and Reform Commission in April, requires Manus to separate from Meta and has led to a data backup requirement for some users.
OpenAI Completes $7 Billion Secondary Share Sale at $852 Billion Valuation
OpenAI completed a $7 billion secondary share sale, allowing current and former employees to sell stock based on an $852 billion valuation. This tender offer provides liquidity for employees and follows a $122 billion funding round in March.
GAO Report Questions DOGE's Claimed $215 Billion in Federal Savings
A Government Accountability Office (GAO) report found that the Department of Government Efficiency (DOGE) could not verify most of its claimed $215 billion in federal savings. The GAO identified issues with the transparency and reliability of DOGE's "Wall of Receipts," noting that many reported terminations of contracts and grants lacked sufficient evidence or did not occur. This matters because it casts doubt on the accuracy of reported government spending reductions and highlights a lack of accountability.
Airbnb Attributes Strong Growth to AI Investment, Reports Faster Feature Development
Airbnb's CEO Brian Chesky stated that AI has reduced product development time by 60% and increased the number of shipped features by 80% year-over-year. The company's stock surged 15% after reporting strong growth, which Chesky directly attributed to increased AI investment, indicating plans for significantly more spending on AI tokens.
Rep. Ro Khanna Introduces "Data Center Bill of Rights" to Empower Local Communities
Representative Ro Khanna (D-CA) has introduced a resolution in the House of Representatives proposing a "Data Center Bill of Rights." This resolution aims to grant local communities the authority to reject data center construction and regulate their development, addressing concerns about utility rate increases, energy and water consumption, and proximity to residential areas.
Hadrian Raises $1.37 Billion at Nearly $8 Billion Valuation for Defense Manufacturing
Hadrian, a manufacturing startup focused on defense and aerospace, secured $1.37 billion in a new funding round, bringing its valuation to approximately $7.9 billion. This investment will support scaling its workforce, software platform, and addressing production challenges in defense sectors, including submarines, munitions, and drones.
New Jersey Sues Amazon Over Alleged Antitrust Violations in Delivery Network
New Jersey Attorney General Jennifer Davenport has filed an antitrust lawsuit against Amazon, alleging the company abuses its power over third-party delivery contractors. The complaint claims Amazon's practices lead to lower wages and harsher working conditions for drivers by preventing unionization and restricting hiring between contractors. This is described as the first state-level monopsony conduct complaint.
Palantir's Q2 Revenue Jumps 93% to $1.94 Billion, Driven by Commercial Growth
Palantir reported second-quarter revenue of $1.94 billion, a 93% increase year-over-year, surpassing analyst estimates of $1.8 billion. This growth was primarily fueled by a 149% surge in U.S. commercial revenue and a 90% rise in U.S. government revenue. The company also raised its full-year revenue guidance, indicating continued expansion in its commercial sector.
Palantir CEO Alex Karp Criticizes Frontier AI Labs Over Data Control and IP
Palantir CEO Alex Karp reiterated his criticism of frontier AI labs like Anthropic and OpenAI, stating that enterprises should not have to surrender intellectual property to use their models. Karp argued that businesses should maintain control over their own models and data, working with application-layer companies like Palantir to keep data in-house. This stance highlights ongoing industry debate regarding data ownership and control in AI development.
Visa Acquires Fraud Prevention Firm BioCatch for $2.4 Billion
Visa is acquiring BioCatch, a fraud prevention company, for $2.4 billion in cash. This acquisition integrates BioCatch's behavioral biometrics technology into Visa's services to enhance cybersecurity and financial crime detection, addressing a global economy cost of over $1 trillion annually from scams and account takeovers.
OpenAI and Anthropic Increase Lobbying Spending Ahead of Elections
OpenAI and Anthropic spent a combined $3.17 million on federal lobbying in Q2 2026, marking a 23% increase from Q1. This surge occurs as AI companies intensify efforts to influence legislation ahead of midterm elections and their upcoming IPOs.
Xbox CEO Asha Sharma Outlines Strategy for Growth and Profitability by 2027
Xbox CEO Asha Sharma detailed a strategy to return Xbox to player and revenue growth and improve profits to industry averages by the end of fiscal year 2027. This plan follows recent layoffs, studio spin-offs, and a 10% quarterly revenue decline, aiming to address challenges like increasing component costs and an overextended studio slate.
Tim Cook's Final Apple Earnings Call Precedes CEO Transition to John Ternus
Tim Cook conducted his final earnings call as Apple CEO during the company's fiscal third-quarter 2026 results discussion, confirming that John Ternus will lead future calls. Cook will transition to executive chairman on September 1, with Ternus becoming CEO, inheriting challenges such as memory shortages, device price increases, and AI development. Apple reported $109.42 billion in revenue for the quarter.
ASML Increases Sales Forecast Amid AI Chip Demand, Plans EUV Tool Price Hikes
ASML has raised its 2023 sales forecast to €43-45 billion due to strong demand for AI chips. Plans to increase capacity for EUV and DUV machines align with surging orders. The company is also exploring price increases for its Low-NA EUV tools, facing criticism from major client TSMC. ASML's pricing strategy and market position could impact the broader semiconductor industry.
Intel Partners With Fortinet for SP6 Chip Development on Intel 4 Technology
Intel and Fortinet have entered a strategic collaboration to develop Fortinet's Security Processor 6 (SP6) using Intel's 4 nm process. Fortinet becomes Intel's first named external silicon customer for the Intel 4 node, marking a significant development for Intel's foundry business. This collaboration strengthens the relationship between semiconductor manufacturing and cybersecurity, with Intel showcasing its foundry capabilities under CEO Lip-Bu Tan.
CuspAI Raises $450 Million with Investments from Jeff Bezos and UK Government
CuspAI, a Cambridge-based AI startup, raised $450 million in funding, valued at $2.6 billion, with contributions from Jeff Bezos and the UK government. CuspAI aims to accelerate material discovery for chipmakers using AI, reducing reliance on rare metals and potentially advancing technology in clean energy and semiconductors. This collaboration involves notable tech firms like Nvidia, marking a significant step in AI-driven material science.
TSMC Reports Strong Revenue and Profit Growth Amidst AI Chip Demand
Taiwan Semiconductor Manufacturing Co. (TSMC) recorded a 68% revenue increase in June, with total Q2 revenue up 36% year-over-year, driven by AI chip demand. Advanced chip technologies accounted for 77% of wafer revenue, contributing to a 77.4% profit rise for the quarter. TSMC plans to expand advanced chip packaging facilities in Taiwan.
Apple Engages PrismML for On-Device AI Model Compression
Apple is in discussions with PrismML, a startup that compresses large AI models to run directly on iPhones. This technology allows models like Qwen 3.6 with 27 billion parameters to operate on iPhones without relying on servers, potentially improving device performance and privacy.
Micron to Boost U.S. Chip Investments to $250 Billion by 2035
Micron has announced a strategic investment of $3 billion in U.S. semiconductor manufacturing, including $500 million for GlobalWafers' Texas wafer plant. This is part of a broader plan to increase Micron's total U.S. investment to $250 billion by 2035, driven by rising memory demand from AI advancements. The move seeks to secure a reliable domestic supply of critical input materials.
Meta Expands Hyperion Data Center in Louisiana to a 5GW Facility, Investment Surpasses $50 Billion
Meta's data center in Louisiana will grow to a 5GW facility, increasing its investment from $27 billion to over $50 billion. Supported by Louisiana's tax incentives, this expansion is part of Meta's AI infrastructure strategy and promises substantial local economic benefits.