Chasing the low-cost AI models

AI-powered software startups are increasingly turning to cheaper models in place of the big brands. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Here’s your wrap of the latest must-read tech news. For more expansive and analytical coverage from around the globe, get the Tech In Depth newsletter. Top Stories Booming sales: Nvidia partner Hon Hai reported a 47% jump in quarterly sales. The Taiwanese company is benefiting from spending on AI hardware. Data lawsuit: AppLovin was sued by San Diego County, alleging the mobile ad tech company bypassed parental controls to serve ads with adult themes and graphic sexual content in games played by children. The lawsuit is part of an effort to protect kids online. Gas pipeline: SpaceX is proposing to build a 32.4-mile natural gas pipeline in Florida to serve the company’s facilities at Cape Canaveral. Its Starship rockets need a lot of fuel. Must Reads The Only Billionaires Making Money This Year Are In Tech If 2026 feels like a banner year for the world’s tech billionaires, the numbers bear it out. Ex-Anthropic Researcher Testifies as NYC Council Weighs AI Curbs Former Anthropic researcher Jacob Coxon warned that the race to develop artificial intelligence poses risks that the industry itself doesn’t fully understand, at a New York City Council hearing where lawmakers weighed whether to impose their own safeguards on a burgeoning global business. US Investors Drive Record Haul for European Defense Startups in 2026 European defense startups raised a record amount of capital this year, turning to US investors more than local funds for the first time. Market Snapshot Space Exploration Technologies Corp $171.09 +7.6% NVIDIA Corp $238.90 +2.1% Paramount Skydance Corp $9.78 +2.9% Market data as of 07:05 PM ET. Data is subject to provider delays. Your watchlist Beyond The Brief Reflection AI on Monday unveiled its first open-weight model, which will compete with models including those from Chinese makers DeepSeek and Moonshot AI, Rebecca Torrence reports in today’s Tech In Depth. The release of the cheaper alternative to models from OpenAI and Anthropic puts even more pressure on those leading firms to lower their prices in the rivalry to win and hold on to enterprise customers, she writes. Get the Tech In Depth newsletter for analysis and scoops about the business of technology from Bloomberg’s journalists around the world. This Week In Power On Since Jony Ive’s departure in 2019, Apple has lacked a single design chief, Mark Gurman reports in this week’s Power On. But new Chief Executive Officer John Ternus may have found one — himself, Gurman writes. Sign up for the Power On newsletter to get the inside scoop from Mark Gurman on all things Apple and consumer tech. Before You Go... Paramount Names Skydance Leadership as Merger Set to Close Paramount Skydance Corp. outlined the executive leadership team that will helm the new company resulting from its acquisition of Warner Bros. Discovery Inc. after its expected closing on Tuesday. Read more We’re improving your newsletter experience and we’d love your feedback. If something looks off, help us fine-tune your experience by reporting it here. Follow Us You received this message because you are subscribed to Bloomberg’s Tech In Brief newsletter. If a friend forwarded you this message, sign up here to get it in your inbox. Unsubscribe Bloomberg.com Contact Us Bloomberg L.P. 731 Lexington Avenue New York, NY 10022 |