Homechevron_rightArchiveschevron_rightBusiness and Economy

Archives

Explore Stories by Date

31 Dec 2025

OpenAI employee compensation reaches $1.5 million per worker, shattering Silicon Valley records

OpenAI is paying its 4,000 employees an average of $1.5 million each in stock-based compensation, far exceeding what Google, Facebook, or any major tech company offered before going public. The aggressive pay structure reflects the intense competition for AI talent, with costs projected to reach 46% of revenue by 2025—the highest among major tech startups analyzed over the past 25 years.

3 Sources

Memory shortage drives PC and smartphone price increases up to 20% as AI demand reshapes markets

Major PC and smartphone manufacturers are warning of significant price increases in 2026 due to an AI-driven memory chip shortage. Companies like Dell, Lenovo, HP, Asus, and Samsung confirm that rising costs of DRAM and NAND chips will push device prices up by 15-20%, as AI data centers consume the bulk of global memory production.

13 Sources

ByteDance plans $14 billion Nvidia AI GPU purchase as Trump eases chip export controls to China

ByteDance, TikTok's parent company, is set to spend $14 billion on Nvidia H200 AI GPUs in 2026, marking a significant jump from $12 billion in 2025. The massive investment hinges on Beijing's approval following the Trump administration's decision to ease export restrictions on Hopper-based chips to China, even as the company develops its own custom silicon.

2 Sources

30 Dec 2025

FTAI Aviation stock soars 13% as company tackles AI-driven power shortages with new turbine business

FTAI Aviation launched FTAI Power, converting CFM56 aircraft engines into 25-megawatt turbines to supply electricity to AI data centers facing critical power shortages. The stock surged over 13% to new 52-week highs as analysts maintained bullish ratings, with production expected to begin in 2026 and capacity exceeding 100 units annually.

3 Sources

Satya Nadella enters founder mode as Microsoft races to maintain AI dominance amid rising competition

Microsoft CEO Satya Nadella has shifted to a hands-on 'founder mode' leadership style, overhauling senior leadership and demanding urgency from executives as the company faces intensifying AI competition from Google and Amazon. With Copilot at 150 million users versus OpenAI's 800 million, Nadella is restructuring to accelerate progress on AI models and tools following changes to the OpenAI partnership.

3 Sources

Applied Digital spins off cloud unit to form ChronoScale as Ekso Bionics stock surges 54%

Applied Digital announced plans to merge its cloud computing arm with Ekso Bionics to create ChronoScale Corporation, a dedicated platform for AI compute infrastructure. The business combination sent Ekso Bionics stock soaring 54% in premarket trading as investors reacted to the strategic separation that will allow both entities to scale independently in the high-demand GPU market.

2 Sources

Octopus Energy spins off AI unit Kraken Technologies at $8.65 billion, eyeing public listing

British renewable energy company Octopus Energy is spinning off its AI technology unit Kraken Technologies as a standalone entity valued at $8.65 billion. The separation follows a $1 billion funding round led by D1 Capital Partners and sets the stage for a potential public listing by mid-2026, with London and the US being considered as possible listing locations.

4 Sources

Meta acquires Manus for $2 billion, adding revenue-generating AI agents to its platforms

Meta has closed a $2 billion deal to acquire Manus, a Singapore-based Chinese AI startup that went viral for its general-purpose AI agent capabilities. The acquisition brings Meta a rare asset: an AI product already generating $100 million in annual recurring revenue. However, the deal faces scrutiny over Manus's Chinese origins and potential national security implications.

42 Sources

29 Dec 2025

Nvidia's $5 billion Intel investment already gains $2.5B as AI chip partnership takes shape

Nvidia completed its $5 billion investment in Intel, purchasing 214 million shares at $23.28 each. With Intel stock now trading at $36.68, Nvidia's stake has surged to $7.58 billion. The partnership will jointly develop next-generation chips for data centers and PCs, integrating Nvidia GPUs with Intel CPUs via high-speed NVLink technology.

3 Sources

SoftBank acquires DigitalBridge for $4 billion to secure critical AI data center infrastructure

SoftBank has agreed to acquire digital infrastructure investor DigitalBridge for $4 billion, including debt, in a move to secure data center capacity and power for large-scale AI compute. The deal gives SoftBank access to DigitalBridge's 22-gigawatt power bank and relationships with investors eager to deploy capital in the data center industry. This acquisition comes as AI infrastructure planning shifts upstream into power origination and grid access.

13 Sources

Hotel Groups Bet on Loyalty Programs to Fend Off AI Agents and Online Travel Platforms

Major hotel chains are doubling down on loyalty programs as AI agents reshape travel booking. Marriott's Bonvoy reached 260 million members, up 18% year-over-year, while Hilton and Wyndham enhance perks to encourage direct bookings. The push aims to reduce commission fees paid to online travel agents and capture valuable guest data before autonomous AI bots change how customers book rooms.

3 Sources

26 Dec 2025

Oracle's AI spending spree triggers worst stock decline since 2001 as investor concerns mount

Oracle shares have plummeted 30% this quarter, marking the company's steepest decline since the dot-com crash. Wall Street grows skeptical as the software giant's aggressive AI push strains its balance sheet with $50 billion in planned capital expenditures and delayed OpenAI data center projects.

2 Sources

AI Boom Creates Over 50 New Billionaires as Startup Investment Surges Past $200 Billion

The artificial intelligence sector generated unprecedented wealth in 2025, minting more than 50 new billionaires as investors poured $202 billion into AI companies. From data labeling startups to AI agents replacing workers, founders saw their net worth surge to ten-figure amounts in record time, with some reaching billionaire status in less than three years.

6 Sources

Coforge to acquire AI-native firm Encora for $2.35 billion in largest Indian IT services deal

Indian IT services provider Coforge announced plans to acquire California-based AI firm Encora for $2.35 billion from private equity groups Advent International and Warburg Pincus. The technology services deal marks the largest acquisition in India's IT sector by deal value, surpassing HCL Technologies' $1.8 billion IBM products purchase in 2018. The combined entity expects to generate $2 billion in revenue by FY27.

7 Sources

Retired Navy Nuclear Reactors From Warships Could Power AI Data Centers in Tennessee

Texas-based HGP Intelligent Energy has proposed repurposing two retired Navy nuclear reactors from aircraft carriers and submarines to power AI data centers at Oak Ridge National Laboratory. The $1.8-2.1 billion CoreHeld Project would deliver 450-520 megawatts of carbon-free power, marking the first time military reactors would be converted for civilian use. The company seeks a U.S. Department of Energy loan guarantee to launch what could be a cost-effective solution to AI's escalating energy demands.

4 Sources

Get all updates into your inbox 💌, Stay Up-to-date for Free 🥳

Your Daily Dose of Curated AI News

Don’t drown in AI news. We cut through the noise - filtering, ranking and summarizing the most important AI news, breakthroughs and research daily. Spend less time searching for the latest in AI and get straight to action.

The Outpost

News

About