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3 min read

Week 47, 2024

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Overview

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  1. Amazon unveils in-house AI chips
  2. Amazon launches Amazon Haul
  3. Netflix ad-tier hits 70M subscribers
  4. Perplexity adds sponsored ads
  5. Musk firms' valuations soar
  6. Tesla welcomes EV subsidy cut
  7. X faces user exodus
  8. FBI raids Polymarket CEO's home
  9. Biden rushes TSMC subsidy
  10. Meta hit with EU antitrust fine

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Key Developments

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  1. Amazon unveils in-house AI chips, promising 40% cost savings vs Nvidia. Anthropic and others are testing the product. Amazon is leveraging Anthropic investment talks to push chip adoption. Nvidia shares dip on new.
  1. Amazon launches 'Amazon Haul' with sub-$20 items, mostly under $10. The mobile-only service targets Temu and Shein's growing US market share, signaling e-commerce price war escalation.
  1. Netflix hits 70M ad-tier subscribers globally in 2 year. Over 50% of new users are choosing the $6.99 plan with ads. Netflix's ad strategy success triggered industry shift as competitors like Disney adopted similar models.
  1. Perplexity adds 'Sponsored Follow-up Questions' ads in US. Becomes first major AI search engine to monetize via ads. Indeed and Whole Foods join as first partners. Differs from ChatGPT's ad-free search, follows Google's AI Overview ad model which is in testing.
  1. Musk firms' valuations soar. xAI is seeking $6B at $50B valuation, doubling from $24B in May. SpaceX hits $250B on tender offer at $135/share, up from $210B earlier this year. Musk is gaining unprecedented momentum after Trump win, combining market dominance and political influence.
  1. Tesla welcomes Trump's EV subsidy cut plans. Recently delivered pro stance to transition team after $7,500 tax credit elimination talks. Musk says it'll hurt rivals more than Tesla. Tesla's scale and market dominance could strengthen if subsidies end, as smaller EV makers rely more heavily on incentives for sales.
  1. X sees record user exodus after election. X users are fleeing over Musk's political moves and platform changes. Rival Bluesky gained 2M users in 2 weeks, hitting 15M total. Major media outlets Guardian also quit platform, citing concerns over political bias and toxic content.
  1. FBI raids Polymarket CEO's home over alleged market manipulation. Seized his phone and electronic devices. Company claims political retaliation for accurately predicting Trump's win. Case highlights growing debate over prediction markets' legality and influence on elections.
  1. Biden admin rushes $6.6B chip subsidy to TSMC's Arizona plants before transition. This last-minute move secures advanced chip manufacturing commitment in US, before potential policy shift under Trump, who has consistently opposed semiconductor subsidies.
  1. Meta was hit with $840M EU antitrust fine over Facebook Marketplace. Meta also cut ad-free subscription fees by 40% and added less-personalized ad options to comply with EU privacy rules. EU's dual pressure on competition and privacy is forcing Meta to revamp European business model.

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Other notable updates

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AI

OpenAI to launch 'Operator' AI agent in January, aiming for computer task automation on users' behalf.

Google launches free Gemini iOS app with text, voice, and camera-based AI interactions.

DeepMind releases AlphaFold 3's code for academic research, promising major advances in protein structure prediction.

OpenAI proposes North American AI alliance to counter China; suggests infrastructure sharing.

Anthropic collaborates with DOE nuclear security to prevent Claude from leaking sensitive nuclear info; sets precedent for AI safety in sensitive domains.

DeepL launches real-time voice translation with 13 languages; offers meeting and conversation modes.

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Chips / Infrastructure

AMD cuts 1,000 jobs (4%) to focus on AI chips.

TSMC faces discrimination lawsuit at Arizona plant; 13 employees allege Taiwanese favoritism.

SoftBank to build Japan's largest AI supercomputer using Nvidia's B200 Blackwell.

Vietnam's chip packaging industry grows on China exodus; share to hit 8-9% by 2032.

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Devices / Hardware

Apple preps smart home entry with AI wall display, due March.

Amazon develops delivery smart glasses for route optimization.

Baidu unveils ERNIE-powered smart glasses, first Chinese LLM-based wearable.

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Productivity / Software

Apple launches Final Cut Pro 11 with AI features in first major update in decade.

TikTok partners with Getty for AI ad creation, combining licensed images with AI avatars.

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Content / Entertainment

YouTube launches 'Jewels' creator tipping system, mimicking TikTok's gifts.

Netflix scores big with first live sports as Tyson fight draws 60M viewers.

Spotify battles AI-generated fake albums exploiting royalty system.

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Social Media

Bluesky, Threads gain millions as users flee X; Threads hits 275M monthly users.

Threads to launch ads in January, targeting advertisers leaving X.

ByteDance hits $300B valuation in buyback, sets private company record.

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EV / Autonomous

Waymo opens LA robotaxi service to public, clearing 300K waitlist.

VW, Rivian form $5.8B software JV through 2027.

Pony.ai sets Nasdaq IPO at ~$5B valuation.

Grab launches proprietary mapping service across 500 Southeast Asian cities.

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Space

NASA, Microsoft launch 'Earth Copilot' AI chatbot powered by NASA data.

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Healthcare

Amazon expands One Medical to include beauty care, offering teledermatology and hair loss treatment.

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Etc

US workplace AI adoption stalls at 33%; half of workers hide AI use from bosses.

  • Fear of judgment creates 'shadow AI' culture, hindering transparent implementation and proper governance of AI tools.

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