The tech world sees a fascinating blend of cultural shifts and significant advancements, even as some market segments show caution. Cambridge Dictionary named "parasocial" its 2025 word of the year, highlighting a growing trend of one-sided connections people form with public figures, fictional characters, and increasingly, AI chatbots like ChatGPT and Replika. This term, first used in 1956, gained new relevance as searches spiked following celebrity news and concerns from 44 state attorneys general about "chatbot parasocial relationships" with children. Some users even report forming deep, romantic attachments, with a survey of Replika users revealing instances of individuals believing their AI companions were "pregnant with my babies." This underscores a blurring line between human connection and AI interaction. Simultaneously, the artificial intelligence sector continues its rapid expansion. Google launched Antigravity, a new agentic development platform for coding, available for Windows with a free Individual plan. This move intensifies competition in AI coding tools, where Google faces off against major players like Microsoft, Anthropic, and OpenAI. Microsoft, for its part, partnered with NVIDIA to boost scalable AI on enterprise data. Their collaboration integrates Microsoft SQL Server 2025 with NVIDIA's Nemotron RAG collection of open models, using NVIDIA GPUs and the Llama Nemotron Embed 1B v2 model to improve RAG performance and ensure data security. Beyond enterprise solutions, Microsoft also extended an $82,500 grant to Washington State University for the Rural AI for Societal Equity (RAISE) project, aiming to create an AI roadmap for rural K-12 schools. Despite these advancements, the tech industry faces challenges, including widespread job cuts, with employees like Casey Engler losing his position at Microsoft in July. In the financial sector, BBVA Research introduced a new website section leveraging Big Data and AI for real-time economic and geopolitical analysis, using anonymized BBVA customer data and AI to analyze thousands of daily news items. eToro CEO Yoni Assia predicts AI will empower retail investors with insights previously exclusive to top hedge funds, enabling users to simulate expert strategies and receive portfolio comments. eToro itself added 100,000 funded accounts in Q3, reaching $20.8 billion in assets. However, hedge funds are selling off AI-related stocks, including Palantir and Nvidia, in early November, marking the most significant net selling of technology shares in two years. This "risk-off mode" persists despite strong corporate earnings, with Palantir's stock dropping 17% even after reporting excellent earnings and raising its outlook, and the Atlanta Fed model indicating 4.1% annual economic growth. Amidst this dynamic environment, Engageware, an AI-powered customer engagement platform, was recognized as a Major Contender for the second consecutive year in Everest Group's 2025 PEAK Matrix Assessment for Conversational AI and AI Agents in Customer Experience Management, having already powered one billion AI interactions and handling over 300 million customer interactions annually.
Key Takeaways
- Cambridge Dictionary named "parasocial" its 2025 word of the year, reflecting growing one-sided connections with celebrities, fictional characters, and AI chatbots.
- Some users of AI companion apps like Replika report forming deep, romantic attachments, with instances of believing their AI partners are "pregnant with my babies."
- Google launched Antigravity, a new agentic development platform for AI coding, intensifying competition with Microsoft, Anthropic, and OpenAI.
- Microsoft and NVIDIA partnered to enhance scalable AI on enterprise data, integrating SQL Server 2025 with NVIDIA's Nemotron RAG collection and Llama Nemotron Embed 1B v2 model.
- Microsoft provided an $82,500 grant to Washington State University for the RAISE project, aiming to develop an AI roadmap for rural K-12 schools.
- The tech industry is experiencing widespread job cuts, including at Microsoft, despite overall industry prosperity.
- BBVA Research launched a new website section using Big Data and AI for real-time economic and geopolitical analysis, leveraging anonymized customer data and news analysis.
- eToro CEO Yoni Assia believes AI will empower retail investors by providing insights and strategy simulations previously limited to hedge funds; eToro added 100,000 funded accounts in Q3.
- Hedge funds are selling off AI-related stocks, including Palantir and Nvidia, marking the largest net selling of technology shares in two years, despite strong corporate earnings and economic growth indicators.
- Engageware was named a Major Contender in Everest Group's 2025 PEAK Matrix Assessment for Conversational AI and AI Agents in Customer Experience Management, having powered one billion AI interactions.
Cambridge Dictionary names "parasocial" 2025 word of year
Cambridge Dictionary chose "parasocial" as its 2025 word of the year. This term describes one-sided relationships where a person feels connected to someone they do not know personally. Sociologists Donald Horton and Richard Wohl first used the word in 1956 to describe TV viewers' connections to personalities. Today, this includes fans of celebrities like Taylor Swift and Lily Allen, and users interacting with AI chatbots such as ChatGPT. Colin McIntosh from Cambridge Dictionary noted the word's rise shows how language changes with technology and culture. Professor Simone Schnall added that these relationships can become unhealthy and intense.
Cambridge Dictionary selects "parasocial" as 2025 top word
Cambridge Dictionary announced "parasocial" as its 2025 word of the year. This word describes a one-sided connection people feel with someone they do not know, like a celebrity, fictional character, or AI chatbot. The term was first used in the 1950s by Donald Horton and Richard Wohl to explain how TV viewers connected with on-screen personalities. Today, examples include fans of Taylor Swift and users of AI chatbots, which caused searches for the word to spike. Colin McIntosh, editor of Cambridge Dictionary, noted millions engage in these relationships. Psychologist Veronica Lamarche says these bonds can help social lives but must not replace real friendships.
"Parasocial" named Cambridge Dictionary's 2025 word
Cambridge Dictionary chose "Parasocial" as its 2025 Word of the Year. This term describes a one-sided connection people feel with famous individuals, fictional characters, or artificial intelligence. The dictionary noted that social media and the rise of AI companions have made these relationships more common. Searches for "parasocial" increased significantly in June due to streamer iShowSpeed and in August after Taylor Swift and Travis Kelce's engagement. Concerns also grew when 44 state attorneys general warned AI companies about "chatbot parasocial relationships" with children. Colin McIntosh, Cambridge Dictionary Chief Editor, stated the word captures the 2025 zeitgeist and shows its shift from an academic term to everyday use.
Engageware named Major Contender in AI CXM by Everest Group
Engageware received recognition as a Major Contender in Everest Group's 2025 PEAK Matrix Assessment for Conversational AI and AI Agents in Customer Experience Management. This marks the second year in a row for the company. Engageware's platform offers an integrated approach to digital engagement, combining conversational design, campaign orchestration, and live-agent support. It focuses on regulated industries, ensuring secure and personalized interactions. The platform uses next-generation AI to handle over 300 million customer interactions yearly, offering features like smart invoicing and appointment scheduling. CEO Dan O'Malley stated that customers see reduced costs and higher satisfaction with Engageware's AI-powered solutions.
Engageware earns Major Contender status from Everest Group
Engageware, a leading AI-powered customer engagement platform for regulated industries, was again named a Major Contender. Everest Group recognized Engageware in its 2025 Conversational AI and AI Agents in Customer Experience Management Products PEAK Matrix Assessment. This annual report evaluates global AI providers based on their vision, capabilities, and market impact. Engageware has already powered one billion AI interactions, demonstrating its significant presence and trust in the industry. The company continues to provide essential AI solutions for customer experience.
BBVA Research launches AI section for real-time economy
BBVA Research introduced a new section on its website focused on Big Data and Artificial Intelligence. This new tool will monitor economic and geopolitical events in real time using daily data and interactive visualizations. The section has three main parts: real-time economics, high-definition economics, and geopolitical analysis with AI. It uses anonymized BBVA customer data for economic indicators and AI to analyze thousands of daily news items for geopolitical risks. Jorge Sicilia, Head of BBVA Research, stated this initiative aims to make economic information more accessible and useful for everyone.
eToro CEO sees AI empowering retail investors
eToro CEO Yoni Assia believes artificial intelligence will give everyday investors powerful insights previously limited to top hedge funds. Assia explained that AI can process vast amounts of information from leading investors like Warren Buffett and Benjamin Graham. This technology allows users to simulate these experts' strategies and get comments on their own portfolios. eToro, a social investing platform co-founded by Assia in 2007, also lets users track market changes and their impact on investments. The company recently reported modest Q3 growth, driven by crypto, adding 100,000 funded accounts and reaching $20.8 billion in assets.
Tech industry faces job cuts despite prosperity
The tech industry, known for its prosperity, is currently experiencing significant job losses. Many employees, like Casey Engler who lost his job at Microsoft in July, face challenges finding new work. This trend marks a year of widespread layoffs across the sector. The situation highlights a difficult period for tech workers, even as the industry continues to advance.
WSU team gets Microsoft grant for rural AI education
A team from Washington State University, led by Assistant Professors Tingting Li and Peng He, received an $82,500 grant from Microsoft. Their project, Rural AI for Societal Equity (RAISE), aims to create an AI roadmap for rural K-12 schools. Rural schools often lack the resources and support that urban districts have for integrating AI, which puts their students at a disadvantage. Li and He will conduct workshops and interviews in Eastern Washington, North Idaho, and Eastern Oregon to understand local needs. The RAISE Roadmap will offer strategies for using AI responsibly and sustainably in these schools, serving as a model nationwide.
Hedge funds sell tech stocks despite strong AI earnings
Despite strong corporate earnings, especially in the tech sector, hedge funds are selling off AI-related stocks. The market currently shows a "risk-off mode" with talks of bubbles and economic issues, even though the Atlanta Fed model indicates 4.1% annual economic growth. For example, Palantir (PLTR) reported excellent earnings and raised its outlook, yet its stock dropped 17%. Hedge funds have been major net sellers of technology shares in early November, the most in two years. One hedge fund manager even publicly announced shorting Nvidia (NVDA) and Palantir (PLTR), despite his fund previously closing due to poor returns.
NVIDIA and Microsoft boost AI on enterprise data
NVIDIA and Microsoft partnered to enhance scalable AI on enterprise data, announced at Microsoft Ignite 2025. Microsoft SQL Server 2025 now includes built-in vector search and SQL native APIs to connect with external AI models. This integrates seamlessly with NVIDIA's Nemotron RAG collection of open models. A new NVIDIA reference architecture, based on SQL Server 2025 and Nemotron RAG, solves challenges in AI deployment, performance, and security. It improves RAG performance by using NVIDIA GPUs and the Llama Nemotron Embed 1B v2 model for accurate data embeddings. This solution also ensures data security and flexible deployment of AI models as containerized endpoints.
Users report "having babies" with AI companions
New research reveals that some users are forming deep, even romantic, connections with AI companions, with some reporting "having babies" with their virtual partners. A survey of 29 users of the Replika app, an AI companion tool, showed participants aged 16 to 72, mostly single and lonely, developing strong attachments. For example, one man stated his AI was "pregnant with my babies," and a woman reported being "pregnant in our current role play." Users often blame the app's corporate owners for any AI limitations rather than the AI itself. This trend highlights a blurring line between real attachment and AI-induced delusion.
Google launches Antigravity AI coding platform
Google has launched Antigravity, a new agentic development platform designed for the "agent-first era" of coding. This integrated development environment is available for Windows and offers a free Individual plan. The launch comes shortly after Google invested in Cursor, a rival AI code editor, showing Google's complex strategy in this fast-growing market. Antigravity features include tab autocompletion, natural language code commands, and the ability to manage multiple AI agents. Varun Mohan, former CEO of Windsurf, leads the project. Google's move highlights the intense competition in AI coding tools, with major players like Microsoft, Anthropic, and OpenAI also offering similar products.
Sources
- Cambridge Dictionary’s 2025 word of the year captures an ‘unhealthy’ modern phenomenon
- ‘Parasocial’ is Cambridge Dictionary's word of 2025
- Swifties and AI Chatbots Inspire Cambridge Dictionary to Make ‘Parasocial’ the Word of the Year
- Everest Group Again Recognizes Engageware as Major Contender in Conversational AI and AI Agents in Customer Experience Management (CXM) Products PEAK Matrix® Assessment
- Everest Group Again Recognizes Engageware as Major Contender in Conversational AI and AI Agents in Customer Experience Management (CXM) Products PEAK Matrix® Assessment
- BBVA Research launches a new Big Data and Artificial Intelligence section to monitor the economy and geopolitics in real time
- “I Want Warren Buffett to Comment on My Portfolio,” eToro CEO Says on AI in Retail Trading
- Why one of the nation’s most prosperous industries is shedding jobs
- WSU team wins Microsoft support to develop AI roadmap for rural schools
- Is It Time to Give Up on the AI Trade? Why Hedge Funds Might Be Wrong
- Building Scalable AI on Enterprise Data with NVIDIA Nemotron RAG and Microsoft SQL Server 2025
- People Are Now 'Having Babies' With Their AI Lovers
- Google Releases Google Antigravity IDE To Compete With Cursor, Others
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