
Meta sacrifices a heap of money at the altar of AI
Mark Zuckerberg announced in April that the company would make huge capital expenditures in the coming year to keep up in the race to develop cutting-edge artificial intelligence. He made good on that promise last week with a $15bn 'AI superintelligence' team that would feature reported nine-figure salaries and a 49% investment in Scale AI. Meta also hired Scale's 28-year-old founder, Alexandr Wang, a former roommate of OpenAI's Sam Altman.
Before Meta's investment, Scale counted most of the major players in AI among its clients, and some of them were less than thrilled with the development. Bloomberg puts it succinctly: Scale AI's Wang Brings to Meta Knowledge of What Everyone Else is Doing. Google, Scale's largest customer, got scared. The tech giant told the startup that their working relationship would end in response to the deal, Reuters reported on Friday.
My colleague Robert Booth has more:
One Silicon Valley analyst described the announcement as the action of 'a wartime CEO'.
Superintelligence is described as a type of AI that can perform better than humans at all tasks. Currently AI cannot reach the same level as humans in all tasks, a state known as artificial general intelligence (AGI).
Meta's attempt to leapfrog the current state of progress and target superintelligence is seen by observers as an attempt by the company to regain the initiative over AI after significant advances by competitors including Sam Altman's OpenAI and Google and after Meta's huge investment in the concept of the Metaverse flopped.
The financial magnitude of the move may seem like taking command of the AI race, but Meta is playing catchup. Its most recent AI models are less capable than those of rivals. In April, the company published a model designed with features tailored to gaming a popular benchmark, a desperate move. With its mammoth investment and the formation of a new team, particularly one helmed by a key industry player, the tech giant is buying its way in.
Read more about Meta's superintelligence team here.
Revealed: Thousands of UK university students caught cheating using AI
Disney and Universal sue AI image creator Midjourney, alleging copyright infringement
Hey AI! Can ChatGPT help you to manage your money?
Researchers create AI-based tool that restores age-damaged artworks in hours
Keir Starmer says technology can create a 'better future' as he addresses AI fears
Last week, Wikipedia halted a test of a new AI-powered article summarizer in response to a backlash from its editors, the volunteers who contribute new information to the online encyclopedia's articles and evaluate the quality of others' additions. The site had introduced summaries of articles, generated by artificial intelligence, that would appear at the top of those pages above the introduction to the subject, written by humans. The test ran for two weeks for about 10% users of the mobile version of Wikipedia who opted into it.
The feedback was, in the words of Wikipedia's nonprofit parent, 'strongly negative'. One editor wrote in the public forum: 'A truly ghastly idea.' Another: 'Keep AI out of Wikipedia.' And: 'I am going to join the chorus of editors saying that this is a uniquely bad idea.' Some argued in favor of the introduction of summaries by AI, making the point that technical articles on Wikipedia prioritize depth and complexity over accessibility. Most, though, argued that any hallucinations and mistakes would degrade Wikipedia's reputation of reliability.
The general sentiment among editors read thusly: 'Yuck'.
'We're trying to figure out the balance between AI and Wikipedia. There are AI integrations that do happen on Wikipedia but are very minimal. Little things that make it easier for editors to do their work or readers to get the content they need,' said Pacita Rudder, executive director of Wikimedia New York City, a local chapter affiliated with the foundation. ''Where's the line between human output and robotic output?' is a debate that's constantly happening within the Wikipedia community. There are some people who are for it, some against it, but as with anything with Wikipedia, we have to come to a consensus.'
Contrast Wikipedia's deferential response with Reddit's. The social network began charging for access to its application programming interface in 2023. Reddit's library of posts is extremely valuable to AI companies, which need enormous collections of text written by contemporary human beings to train large language models like ChatGPT. Reddit execs intended to extract money from AI companies using the company's library. They succeeded. They also rendered many users' experiences worse by crippling popular extensions. In response, users, particularly forums' volunteer moderators, revolted en masse, blacking out forums with tens of millions of members and demanding reversion. Executives refused. They chose dollars from AI companies over their users' concerns, the opposite of Wikipedia. A coda to the story, though: two years later, Reddit largely functions as before.
Several days after Wikipedia rolled back its AI test, the Wikimedia Foundation hosted an in-person 'edit-a-thon' at the United Nations, an event dedicated to creating and updating pages about the history of the international body, complete with a work list. The conclave of information custodians – a 50/50 balance of new and experienced editors, according to Rudder – was part of the UN's Open Source Week and occurred alongside an open source hackathon. It was in-person only.
The edit-a-thon stands in contrast to the stereotypical tableau of curating Wikipedia articles: a single person online, communicating sterilely with others via a glaring white screen. At the event, though, editors convened in groups of five around a single laptop to converse excitedly and collaborate in as many languages throughout a large, buzzing auditorium. Italian and Sri Lankan envoys lionized the work of the editors in speeches, as well as the open source community at large. An executive from the Wikimedia Foundation thanked them for their work, as did the UN under-secretary-general for digital and emerging technologies. It was an energetic scene.
Asked why she felt it was important to host an in-person-only event, Rudder said: 'It's community, right? There's this misconception that a lot of Wikipedia editors are alone in their basements, typing away, but that's not the case,' said Rudder. Wikimedia NYC hosted the event at the UN. Rudder said the chapter's role is to bring editors and members of the online community together. She said she felt most energized by meeting new editors.
As with Reddit, Wikipedia's huge text corpus is part of the foundational training data for most, if not all, large language models. And like the white alien company, Wikipedia charges for smooth access to it, though less than Reddit, Rudder said. The organization launched Wikimedia Enterprise in 2021 with an eye towards corporate customers. Reddit is a for-profit business, whereas the Wikimedia Foundation is a non-profit. Wikipedia's data is free, but using it easily may cost you.
Unlike Reddit, Wikipedia is emphasizing the human labor necessary to maintain its site and the content there by rolling back features in response to community outcry and convening editors in person.
Sign up to TechScape
A weekly dive in to how technology is shaping our lives
after newsletter promotion
Misinformation about LA Ice protests swirls online: 'Catnip for rightwing agitators'
US immigration agency flies drones capable of surveillance over LA protests
Software used in surveillance of immigrants has deep ties to the LAPD
A week ago, Apple hosted its annual developers' conference, WWDC. The biggest announcement was a redesign of the iPhone Operating System (iOS) nicknamed 'liquid glass'. Virtual buttons on iPhone screens will appear transparent, with the images behind them passing through with a slight warp like a magnifying glass. The aesthetic recalls the colorful Macs of old, housed in translucent, whimsical plastic.
The refreshed design is pretty! It is also boring. Machines are fabricating entire movies and predicting hurricanes. Who cares what color my phone's controls are?
There were other updates, of course. Apple is adding live translation to FaceTime calls, for instance. I can imagine many calls with distant family and friends that will run smoother with that feature. How nice.
On the whole, though, the updates failed to inspire. For many years, updates to iPhones have seemed far more incremental than, for example, the addition of speedy 3G connectivity in 2008 with the second generation. Apple's updates have failed to keep pace with the freewheeling Android ecosystem. I met a venture capitalist in San Francisco in 2019 who did not know what version of the iPhone he was holding in his hand as we spoke.
Apple showcased little in the way of new AI features, unlike its peers. Google and Samsung are integrating AI into their mobile experiences at a breakneck pace. Case in point: live translation is a feature that has been part of the Android operating system for several years. Google's Pixel Bud headphones can translate the speech of a person talking to you, which Airpods cannot do. Google seems to release a fascinating, if sometimes bizarre, AI feature every week. As recently as Friday, the Verge reported: Google says it is testing Audio Overviews for certain Search queries, available for Labs users in English in the US.
After the demonstration, Gizmodo argued: Apple Knows AI Isn't What People Really Want, but It Can't Say That. Even if that is true, though – and ChatGPT's 500m monthly users might disagree – the announcements showed little in the way of flair. If Apple wants users to stay within the iPhone's ecosystem, it needs to offer them something equally appealing and enthralling or even more so.
Google pushed a new, updated version of the operating system and last week. Samsung teased new features of the next version of its folding phone, per Android Central. Did you hear about them? It is axiomatic in tech journalism that stories about Apple and iPhones will always garner more clicks than stories about Android phones, though a far higher percentage of the world's phones use Android. I have many guesses as to why that is, but it is a topic for another day. I only mention it because many fewer people spent the week discussing the Android updates as did Apple's Liquid Glass interface. Apple's change amounts to only a cosmetic upgrade – and it's debatable whether it will be better at all – but it inspired many more jokes.
Samsung's seventh version of its folding phone, while novel, begs the question: as I complain about new iPhones' lack of thrills, what do I want my phone to do? I do not need a folding phone. I had one, a Motorola Razr, and it did facilitate vital communication; however, that did not arise from the form factor.
Google's new AI features pose the same question. There may not be consensus on what the majority of users want from an AI-enhanced phone, but if you are not trying something new with technology, you are in decline. It doesn't feel like Apple is offering surprising features that I would not have thought of. I may not need an audio summary feature for my Google search results, but I am intrigued by it. Also, what a gift to the visually impaired! Siri, by contrast, still struggles to control Spotify and botches notification summaries.
I have used an iPhone as my primary device for about 15 years now. This inflection point would be the moment to switch to Android to try out its shiny toybox of new features, but I am enclosed in Apple's ecosystem of hardware and apps, a walled garden that is starting to feel less like a bountiful Eden and more like a pen.
As big tech grows more involved in Gaza, Muslim workers are wrestling with a spiritual crisis
Tell us: what questions do you have about the impacts of smartphones on children?
'They went too far': Musk says he regrets some of his posts about Trump
Trump Organization unveils $499 gold phone raising new concerns on conflicts of interest
23andMe's founder wins bid to regain control of bankrupt DNA testing firm
Entrepreneur 'humiliated' after London Tech Week turns her and baby away
The best Apple Watches in 2025: what's worth buying and what's not, according to our expert
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


The Independent
28 minutes ago
- The Independent
JetBlue is cutting flights and reducing staff hours because people aren't traveling as much
JetBlue will cut more flights and reduce staffing hours after a reported drop-off in domestic U.S. air travel. The airline's CEO Joanna Geraghty informed staff of incoming cost-cutting measures on Monday, saying that the 'path back to profitability' was taking longer than expected and that breaking even on operating margins this year was 'unlikely.' 'We're hopeful demand and bookings will rebound, but even a recovery won't fully offset the ground we've lost this year and our path back to profitability will take longer than we'd hoped,' Geraghty said in a note to employees, seen by CNBC 'That means we're still relying on borrowed cash to keep the airline running.' The plans, per CNBC, include cutting off-peak flights as well as getting rid of less profitable routes. Plans to refurbish four older Airbus A320 jets will be put on pause. According to the memo JetBlue is also assessing its hiring plans, and may combine some leadership roles and rein in travel spending. Domestic airlines, who previously predicted a positive 2025, were shaken back in April after President's Donald Trump's broad tariffs and a crackdown on government spending upended their optimism. Tourists and companies reduced spending amid rising economic uncertainty, forcing carriers to cut their first-quarter profit forecasts. A slew of carriers, including American Airlines, Southwest and Delta, withdrew their 2025 financial guidance plans. Airfare in May was down 7.3 percent compared with last year, according to the U.S. Department of Labor's inflation report. In addition to the looming cuts JetBlue, last month announced a new partnership with United that will allow customers to book flights on each other's airline, using and earning points on both frequent flyer programs. Per CNBC, Geraghty said in her memo that while the airline assesses its hiring plans, it will carry on bringing on new frontline employees and fill other positions. The airline has also pumped more money into its premium-class seats in order to appeal to those willing to spend more on their trips. Geraghty's memo said JetBlue is still planning to include domestic-first class seats onto some of its aircraft and also build airport lounges. 'These are the building blocks of a stronger JetBlue, and they remain in motion,' Geraghty said, per CNBC.


Reuters
32 minutes ago
- Reuters
Apple wins appeal to overturn $300 mln US patent verdict
June 17 (Reuters) - Apple (AAPL.O), opens new tab has convinced a U.S. appeals court to throw out a $300 million verdict by a jury that found it infringed wireless standard-essential patents owned by IP management company Optis Wireless Technology. The U.S. Court of Appeals for the Federal Circuit on Monday sent Optis' case back, opens new tab to Texas for a new trial after determining that the jury instructions in the previous trial were flawed. The decision marks the second time that a nine-figure U.S. patent verdict for Optis has been overturned in the case. Attorneys and spokespeople for Optis and Apple did not immediately respond on Tuesday to requests for comment on the Federal Circuit ruling. Plano, Texas-based Optis and its affiliates sued Apple in 2019 in Marshall, Texas federal court, arguing that the tech giant's iPhones and other products violated their patent rights in technology related to the LTE wireless standard. A jury found in 2020 that Apple owed $506 million for infringing Optis' patents. U.S. District Judge Rodney Gilstrap ordered a new trial on damages in 2021 after finding the award may not have been in line with Optis' responsibility to license the standard-essential patents on fair and reasonable terms. A new jury awarded Optis $300 million in damages after the retrial later that year. The Federal Circuit on Monday overturned the award and remanded the case for a new trial on both infringement and damages. A three-judge panel said Gilstrap improperly worded the jury verdict form by combining all of the patents at issue into a single infringement question. "The problem with the district court's single infringement question is that it deprived Apple of its right to a unanimous verdict on each legal claim against it," the appeals court said. A UK court separately ruled last month that Apple owes Optis $502 million for infringing Optis' UK wireless patents. Apple has said that it plans to appeal the ruling. The case is Optis Cellular Technology LLC v. Apple Inc, U.S. Court of Appeals for the Federal Circuit, No. 22-1925. For Optis: Willy Jay of Goodwin Procter For Apple: Mark Fleming of Wilmer Cutler Pickering Hale & Dorr Read more: Apple socked with $506 million patent verdict in East Texas Apple wins new damages trial in $506 million patent loss Apple hit with $300 million patent verdict after new Optis trial


Reuters
33 minutes ago
- Reuters
Trump Mobile pulls coverage map after ‘Gulf of Mexico' label sparks chatter online
June 17 (Reuters) - Just hours into Trump Mobile's Monday launch touting American-made smartphones, the venture pulled its coverage map after sharp-eyed users noticed a curious detail: the body of water south of Texas was labeled as the Gulf of Mexico instead of the Trump-preferred name, Gulf of America. The name of the international body of water has been a hot-button issue after President Donald Trump signed an executive order early in his second term, renaming it the Gulf of America, a name other countries reject. He has since barred the Associated Press news agency from certain White House events, triggering a lawsuit, as AP continues to use the international name, Gulf of Mexico. The Trump family licensed its name to the U.S. mobile service, the latest venture aiming to cash in on the president's political and cultural influence. A Reuters review of the website's code shows Trump Mobile appears to have used T-Mobile's network data for its coverage map. The telecom operator's coverage map labels the body of water as the Gulf of Mexico. The map stirred up chatter across social media before being removed, with numerous users posting screenshots of the old map. As of late morning on Tuesday, a link to Trump Mobile's coverage map returned an error, saying the page could not be found. The Trump Organization did not immediately respond to requests for comment on the coverage map being taken down from the website. Trump Mobile is powered by Liberty Mobile Wireless, a Florida-based company founded in 2018 by entrepreneur Matthew Lopatin. The company operates as a mobile virtual network operator, renting bandwidth from major carriers such as T-Mobile to offer its own service under a different name. The new venture also promised a gold smartphone eventually available for $499, though it did not say who would make the phone, as the U.S. has almost no domestic smartphone manufacturing.