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As enterprises explore smaller language models for specialised tasks, developers see opportunities for tighter evaluation and control. But smaller models still carry their own risks.
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Amid the numerous tech layoffs happening across the globe, comes news about Google that has reportedly extended its voluntary exit programme to more countries this year. While there are no confirmed details about how many employees have voluntarily signed up for it, it has now been reported that Google had expanded its voluntary buyout offers in June. The news comes shortly after software giant Microsoft offered voluntary exit buyouts to about 60,000 employees primarily in the US, UK, India and Canada. More recently, Canva trimmed down 22 percent of its workforce, which affects 1,271 employees across several countries.
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OpenAI has rolled out Images 2.6 for ChatGPT and its API, adding GIF creation to its image generation tools. Users can now animate photos or create GIFs from text prompts, change playback speeds and edit individual frames. The update also lets them save images of people, pets and characters to use as references later. Developers, meanwhile, get two new image generation models, along with SVG exports and more control over image edits.
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Apple is said to be tightening its spending limits on artificial intelligence (AI) tools used by employees. According to a report, the Cupertino-based tech giant has already reduced the daily allowance for some engineers using AI models from $300 to $200, with further cuts being considered for select teams, even as it looks to make AI a bigger part of its internal operations. The proposed changes will reportedly bring some engineering budgets down to $100 per day. Meanwhile, employees in other departments may also face lower limits.
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OpenAI announced GPT-6 Cyber on Thursday as its latest AI model to help security researchers identify software vulnerabilities, develop working exploits, and create fixes. According to the San Francisco-based company, it delivers significant improvements over GPT-5.6 Cyber on cybersecurity benchmarks, including a 51 percent relative improvement on ExploitGym. The AI model is also claimed to be capable of following authorised testing boundaries more reliably. OpenAI says GPT-6 Cyber has already helped uncover vulnerabilities in widely used software.
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ElevenLabs, the AI music generation platform from ElevenLabs, has announced a partnership with SoundCloud aimed at simplifying the process of creating, sharing, and uploading music. This collaboration lets users publish AI-generated music directly to the music streaming platform through its ElevenMusic service. The integration allows creators to generate music using ElevenMusic and upload their tracks to SoundCloud without leaving the platform. As part of the partnership, new and existing SoundCloud Artist Pro subscribers will also get three months of ElevenMusic Pro at no additional cost.
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Claude Personal Finance was introduced by the Dario Amodei-led AI giant Anthropic on Thursday. It is a specialised tool that has been integrated directly into Anthropic's AI chatbot. The AI giant claims that Claude Personal Finance allows users to manage their money matters better by providing insights. Users have to connect their financial accounts, allowing the specialised AI tool to retrieve information on their financial health. However, the company says that the Claude Personal Finance tool can not make changes on the user's behalf. The new Claude tool will be rolled out in beta to paid subscribers in select regions.
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Google DeepMind has introduced Gemini Omni 1.2 Flash. This latest video generation model introduces native 15-second video creation and new editing capabilities. Google says the new model brings a 30 percent price reduction compared to Gemini Omni 1.1. It lets users draft content at 360p or 720p for just $0.07 per second. It supports generating and editing continuous video clips up to 15 seconds long and enables Conversational Editing.
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After launching its AI assistant in September, Meta is back with another update which will now let users have real-time conversations. Called Muse Voice, the feature will work Meta's Muse Realtime Avatar to provide life-like conversations complete with gestures and expressions. The feature will only be available to users in the US and will be coming to other markets soon. The assistant was launched in the US in September but has made its way to Canada. However, it's not possible to access the AI assistant outside of these countries due to regional app store locking.
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Airbnb reported its third-quarter (Q3) 2026 financial results Thursday. Along with its financial health, the platform also shared its plans and products it plans to introduce soon. The company has revealed that it has started developing a dedicated AI agent that will help users plan their trips. Airbnb plans to start rolling out the AI travel agent next year. Airbnb says that its upcoming AI travel agent will use data from different travel-specific libraries. The company has already deployed an AI agent for customer support. The platform also features AI Search, AI Filters, AI Listing Descriptions, and AI Companion, with each tool offering a specific functionality.
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Amazon is jumping on the currently most popular bandwagon for interacting with AI agents: texting. The company on Friday said it is launching a feature that lets customers chat with its Alexa AI agent over text messages to help them shop, much like you can with AI agents like Muse or Instinct. The move comes after Amazonblocked Meta’s Muse from querying its site in September.The company is rolling the features out just before the start of the holiday shopping season. The e-commerce giant said select U.S. customers will get a text asking them to enable the shopping feature. Those with access can text Alexa to shop on Amazon using natural language queries, spanning everything from searching for items, adding them to cart, and purchasing. The text agent builds on the recent shopping-focusedupgrades to Alexa, and so can manage lists, keep tabs on prices, search for items across the web, compare products, and check the status of orders. Users can also share a picture of an item or someone wearing an outfit to search for similar listings on Amazon. The company said over time, Alexa will learn users’ preferences and suggest items accordingly. The company said users who don’t get invited to use this feature cansign up to a waitlist. The feature will be rolled out more broadly in the coming weeks. As the market for consumer-focused AI agents balloons, platforms like Amazon are building their own to tap this new avenue of user interaction. Last month, delivery company DoorDash said that third-party agents had so faronly placed hundreds of ordersin total on its platform, and that it plans to concentrate on developing its own text-based agent,launched in September, further.
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Companies are using more AI than ever, but they’re not spending more on it. A new report from Rampshows AI spending flatlined over late summer even as token volumes rose, a sign that price competition and savvier customers may be capping revenue for OpenAI and Anthropic. According to Ramp’s data, token spend only grew 1.5% across August and September. To compare, in July, it grew 42% from the previous month. As Anthropicgears up for its IPO, the data suggests investors might be wrong to assume AI companies will keep growing at breakneck speed. “Almost the entire spend on AI is from venture-backed, high-growth tech companies,” Ramp’s lead economist Ara Kharazian told TechCrunch. “That’s fine as long as AI spend continues to rise, but if it starts to slow down because of something in the market or some other factor, they will all start to slow down simultaneously, and that could lead to other cascading effects.” Kharazian said he’s already seeing evidence that the top 1% of firms — the most “AI-pilled” — have stuttered slightly in their spend in August and September, coming up just below the $10,000 per-employee they were hitting at their summer peaks. A slowdown among that cohort is “sufficient to slow down revenue entirely, despite the fact that we’re seeing rising volumes,” he said. Ramp data shows growth in spending among median and top 10%, but it’s not enough to make up the difference. Median firms spend $12-$15 per employee per month, and the top 10% spend $600-$1,000. “If you look at the use cases today, it’s not necessarily clear they will get up to that $10,000 per employee per month mark that the 1% is at,” Kharazian said. While there’s plenty of demand for AI coding agents in industries like software and finance, “it’s not necessarily true that a doctor’s office or a car dealership will need to spend that much on AI.” “Theera of hypergrowth may be over,and now that we know there may not be as much juice to squeeze out of the top 1%,” he continued. October data did see a re-acceleration, with token spend up 8.9% from September 23 to October 23, but Kharazian said the headwinds on spend growth are strong. Kharazian (who has published a series of blogs called “Cracks in the AI Thesis”) said the slowdown isn’t due to a demand problem. Again, AI volumes are up. Instead he points to the competitive nature of the marketplace. “OpenAI and Anthropic price cuts have…just made it cheaper to use AI,” he said. In September,OpenAI cut API pricesin half for GPT-6 Sol and GPT-6 Luna. Answering the price war, Anthropic has also made significant reductions to pricing for Fable 5.1 and Opus 5.5 — a decision that the company said in a recent filing slashed revenue growth by about $600 million. Both companies have also been offering enterprise discounts that are intended to lock-in spend, but in reality are hitting their revenue targets. Kharazian said this dynamic means it has very much become a buyer’s market. Subsidizing use of expensive technology in order to lock in customers has always been a part of the Big Tech playbook. Just recall how cheap it used to be to take an Uber or Lyft ride, and now that there are few other ride-hail players, the cost of going from A to B has risen significantly. Kharazian says those dynamics don’t work in the AI world because there’s just too much competition. “Meta and Nvidia are also introducing enterprise offerings with pretty cheap models or open source models,” Kharazian said. He also pointed to the range of other open model companies from China and the United States, as well as anew company called Jev— a lightweight tool for choosing between a few predetermined outputs — that is increasinglyamong the top performerson Ramp. “For a lot of AI use cases, you just need a simple Yes/No,” Kharazian said. “So you take your already cheap models, you shift them over to Jev, and now your already cheap stuff gets even cheaper.” The ability to complete workloads at a much cheaper cost is another factor driving the spending slowdown. That’s partly due to the discounts from AI companies, but also because companies are just getting better at being thrifty. “As you get really advanced in using AI, you get better at figuring out how to control it,” Kharazian said. “You’re more likely to use defaults that prevent usage of very expensive models for long-running tasks. You’re more likely to impose some budgets on employees. You’re more likely to offload some of the spend from standard and light models to even cheaper light models via routers.” Notion co-founder Akshay Kothari recently posted internal data that matched Ramp’s insights. As he succinctly put it: “tokens go brrr. costs go ahhh.” tokens go brrrcosts go ahhhpic.twitter.com/1whCWCJCyM “Alot of the assumptions that we had about the trajectory of AI spend are starting to break down,” Kharazian said. “You can use more AI, but use it for less. That’s great for the customers…but it’s not necessarily great for the model companies. And it does introduce new questions around their revenue trajectories.” Bloomberg reported Friday thatAnthropic’s potential valuationsank from the $2 trillion estimated in early October to just $1.2 to $1.3 trillion. The company is also reportedly expected to receive ahigh “junk” ratingfrom credit agencies.OpenAI also lowered its proposedvaluation to $1.25 trillion from $1.4 trillion and slashed its latest fundraising goals by about $10 billion. Kharazian says Ramp’s dataset likely informs many investor concerns. There is, however, one potential brightside for spending trajectories, albeit a speculative one. Much of the thesis for hypergrowth spending is that AI will undoubtedly introduce new use cases that will accelerate things. AI coding emerged just a year and a half ago as the most commercially viable product that has led Anthropic and OpenAI to becoming trillion-dollar companies. The hope among investors is that there will be another revolution that will drive further spend. Some think personal agents will be the next coding agents.OpenAI,SpaceXAI, andMetahave all released their own personal agents, alongside startups likeInstinct. Kharazian is skeptical, though, that personal agents, which are “not as economically productive as coding,” will provide the boost the industry needs for nonstop growth. “The projection is that there will be new products being introduced that will drive further growth,” Kharazian said. “But based on what we can observe today and the products available and what is commercially advanced, AI spend has started to slow down.”
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