Microsoft, OpenAI Seek $500B Funding for ChatGPT-5

The artificial intelligence landscape is seeing rapid developments across multiple fronts. Cisco is challenging Broadcom with its new Silicon One P200 chip and 8223 router, designed to connect AI data centers over long distances with improved efficiency and speed. Microsoft and Alibaba are among the companies exploring this technology. Meanwhile, OpenAI is reportedly seeking significant new funding at a $500 billion valuation, with CEO Sam Altman leading efforts to unify its AI models, including the launch of a new GPT-5 model that integrates previous versions. OpenAI is also exploring data center capacity in Canada to support sovereign AI capabilities. In the realm of robot training, MIT researchers have developed a generative AI tool called 'Steerable Scene Generation' to create realistic virtual environments, enhancing robot learning. On the policy front, North Carolina has established an AI leadership council to guide responsible AI integration. However, concerns about the current AI market are surfacing, with one analyst describing China's AI stock rally as a 'paper-tiger market,' suggesting investor expectations may be too high for current generative AI capabilities. Other companies are also advancing AI applications: Saviynt has opened a large innovation hub in Bengaluru for AI identity security, SCHMID Group is expanding to meet demand for AI server boards, and Blackbaud has launched AI agents and capabilities for the social impact sector.

Key Takeaways

• Cisco has launched the Silicon One P200 chip and 8223 router to connect AI data centers over long distances, aiming to compete with Broadcom.
• Microsoft and Alibaba are considering adopting Cisco's new AI data center connectivity technology.
• OpenAI is reportedly seeking new funding at a $500 billion valuation, with CEO Sam Altman leading the development of a unified GPT-5 model.
• OpenAI is exploring options for data center capacity in Canada to support the country's sovereign AI goals.
• MIT researchers have created a generative AI tool, 'Steerable Scene Generation,' for building realistic virtual environments to train robots.
• North Carolina has formed an AI leadership council, comprising 25 members from government, industry, and education, to guide responsible AI use.
• An analyst suggests China's AI stock rally may be a 'paper-tiger market,' with current generative AI capabilities potentially not meeting high investor expectations.
• Saviynt has opened its largest global innovation hub in Bengaluru, India, focusing on AI-based identity security.
• SCHMID Group is expanding its offerings to include advanced packaging substrates and AI server boards, anticipating significant growth.
• Blackbaud has introduced 'Blackbaud Agents for Good,' AI agents for the social impact sector, alongside new AI capabilities and a certification course.

Cisco challenges Broadcom with new chip for AI data centers

Cisco Systems has released a new chip, the Silicon One P200, and routing systems designed to connect AI data centers over long distances. This technology allows for faster data transfers and helps link data centers for developing artificial intelligence models. The new components are smaller and more efficient than previous versions. Microsoft Corp. and Alibaba Group Holding Ltd. are considering using the P200. Cisco aims to deliver this new equipment to customers faster than its competitor, Broadcom.

Cisco's new chip connects AI data centers across long distances

Cisco Systems launched a new networking chip, the P200, to connect artificial intelligence data centers, with Microsoft and Alibaba already signed on as customers. This chip will power a new routing device designed to link large data centers used for training AI systems. The goal is to make multiple data centers work together like one massive computer, even if they are hundreds of miles apart. This addresses the need for greater power and space efficiency in data centers, with the new router using 65% less power than comparable models.

Cisco chip connects AI data centers over long distances

Cisco Systems has introduced a new networking chip, the P200, aimed at connecting artificial intelligence data centers. This chip will be central to a new routing device designed to link geographically dispersed data centers used for AI training. The P200 is set to compete with offerings from Broadcom. Microsoft and Alibaba are among the initial customers for this new technology.

Cisco challenges Broadcom in AI data center connectivity

Cisco Systems is intensifying its competition with Broadcom by releasing a new chip and networking system designed to connect AI data centers over hundreds of miles. The Silicon One P200 chip and 8223 routing systems enable faster data transfers across long optic cables and are smaller than previous versions. This technology helps link distant data centers for AI model development, an area where earlier Cisco products lacked sufficient data transfer speeds. Microsoft Corp. and Alibaba Group Holding Ltd. are exploring the adoption of the P200.

Cisco's 8223 router with P200 chip powers AI data centers

Cisco unveiled the 8223 router, powered by its new Silicon One P200 chip, designed for efficiently connecting data centers for AI workloads. This system offers high bandwidth and efficiency, capable of handling 51.2 terabits per second and connecting data centers up to 1000km apart. The P200 chip provides deep buffering to manage large traffic surges during AI training, preventing performance issues. The 8223 router is also highly power and space efficient, addressing key challenges in AI infrastructure.

China's AI stock rally faces reality check

Investors in China's artificial intelligence market may need a reality check, according to Bloomberg Intelligence analyst Robert Lea. He describes the current AI-driven stock rally in companies like Alibaba, Tencent, and Baidu as a 'paper-tiger market.' Lea believes that current large language models are not as advanced as expected and may not meet high investor expectations, potentially limiting future earnings growth for these companies.

China AI investors may face reality check

Bloomberg Intelligence senior analyst Robert Lea suggests that China's AI stock rally is a 'paper-tiger market,' indicating investors might be due for a reality check. Lea believes that major Chinese AI companies, including Alibaba, Tencent, and Baidu, will likely fall short of ambitious investor expectations regarding generative AI capabilities. This could limit their potential for significant earnings growth.

MIT AI tool creates realistic virtual worlds for robot training

Researchers at MIT's Computer Science and Artificial Intelligence Laboratory (CSAIL) have developed a new tool called 'Steerable Scene Generation' that uses generative AI to create realistic virtual environments for training robots. These virtual kitchens, living rooms, and restaurants provide diverse scenarios for simulated robots to interact with objects, improving training data. The system uses AI to ensure physical accuracy and realism, overcoming limitations of previous simulation methods. This approach allows for the creation of complex and varied training grounds, significantly enhancing robot learning.

MIT AI creates diverse virtual training for robots

Researchers at MIT's CSAIL have created a new system using generative AI called 'Steerable Scene Generation' to build realistic virtual environments for robot training. This tool generates diverse scenes like kitchens and living rooms, allowing simulated robots to practice interactions with objects in physically accurate settings. The system improves upon previous methods by creating more lifelike and varied training data. It uses techniques like Monte Carlo tree search to ensure realism and can generate scenes with more objects than initially trained on.

North Carolina forms AI leadership council

North Carolina Governor Josh Stein has established an AI leadership council to guide the state's use of artificial intelligence responsibly. The council, composed of 25 members from government, industry, and education, will ensure AI benefits North Carolinians economically and ethically. Three professors from UNC, including Stan Ahalt, David Yokum, and Angel Hsu, are part of the council. They aim to foster trust in AI, promote responsible integration, and address potential risks like misinformation and environmental impact.

OpenAI explores data center capacity in Canada

OpenAI is interested in securing data center capacity in Canada and sees it as a way to support the country's goal of building sovereign AI capabilities. The company is exploring options like building infrastructure or purchasing computing power. OpenAI's chief global affairs officer, Chris Lehane, met with Canadian AI minister Evan Solomon to discuss potential partnerships. Canada is focused on digital sovereignty, aiming for greater control over its digital infrastructure and services.

Tuya Smart discusses AI security at London dialogue

Tuya Smart, an AI cloud platform provider, shared insights on AI cybersecurity at the 'Dialogue on AI & Cyber Governance' event in London. The company presented its practices in AI implementation and analyzed global AI cybersecurity trends. The event focused on the security challenges and opportunities presented by the increasing integration of AI into physical systems. Tuya Smart emphasized its commitment to responsible AI development and deployment worldwide.

OpenAI launches unified GPT-5 model

OpenAI has launched GPT-5, a unified model that combines previous versions like 4o, 4.5, and o3-pro, aiming to simplify AI usage for consumers. The launch event, led by CEO Sam Altman, showcased the model's capabilities through tech specs and live demonstrations. This move comes as OpenAI seeks significant new funding at a $500 billion valuation. GPT-5 integrates various functionalities, offering a more streamlined experience for users.

Saviynt opens large innovation hub in Bengaluru for AI identity security

Saviynt, a leader in AI-based identity security, has opened its largest global innovation hub in Bengaluru, India. This 62,000 sq. ft. office will house over 650 employees and focus on AI-led research and development for identity security. The hub aims to drive innovation, strengthen collaborations, and position India as a leader in the field. Saviynt's solutions, including AI security features, are already used by Fortune 500 companies worldwide.

SCHMID Group expands for AI server boards and packaging substrates

SCHMID Group is expanding its product offerings to meet the rising demand for advanced packaging substrates and AI-driven server boards. The company is introducing new technologies like the InfinityLine C+ and InfinityLine L+ to support next-generation AI applications. With the semiconductor market and AI server boards projected for significant growth, SCHMID anticipates its AI-related products will become major revenue drivers starting in 2026.

Blackbaud launches AI agents for social impact sector

Blackbaud has introduced 'Blackbaud Agents for Good,' virtual team members designed to handle complex tasks for social impact organizations. The company also launched over 70 sector-specific AI capabilities and an AI Coalition for Social Impact. This coalition will offer a free AI certification course for the social impact sector. Blackbaud emphasizes its commitment to responsible AI development, integrating features like conversational assistants and data extraction tools.

Sources

• Cisco seeks to challenge Broadcom in connecting AI data centers
• Cisco rolls out chip designed to connect AI data centers over vast distances
• Cisco rolls out chip designed to connect AI data centers over vast distances
• Cisco Seeks to Challenge Broadcom in Connecting AI Data Centers
• Cisco Introduces the 8223 Router, Powered by Silicon One P200
• Are China AI Investors Due For a Reality Check?
• Are China AI Investors Due For a Reality Check?
• Using generative AI to diversify virtual training grounds for robots
• Using Generative AI To Diversify Virtual Training Grounds For Robots
• Three UNC professors join Gov. Stein's newly established AI leadership council
• OpenAI eyes artificial intelligence data-centre capacity in Canada
• Dialogue on AI & Cyber Governance in the Physical AI Era: Tuya Smart Delivers Strategic Insights on Emerging Global AI Cybersecurity Paradigms
• OpenAI’s latest step towards advanced artificial intelligence
• Saviynt Inaugurates Its Largest Global Innovation Hub in Bengaluru to Power the Future of AI-Driven Identity Security
• SCHMID Group Expands Product Portfolio to Address Growing Demand for Advanced Packaging Substrates and AI-Driven Server Boards
• Blackbaud unveils social impact AI agents and free certification course By Investing.com