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Welcome back!
Today’s news ranges from Silicon Valley to Paris. AI companies around the world are finding different ways to meet their financial and computing needs to build the next generation of AI. Let’s dive in.
In today’s Daily Update:
🗞️ OpenAI to use Oracle’s chips for more computing power
🤖 Stability AI launches Stable Diffusion 3 Medium
📸 Mistral AI raises $640 million at $6 billion valuation
🚨 AI Roundup: Four quick hits
Read time: 2 minutes
TOP STORY
🗞️ OpenAI to use Oracle’s chips for more computing power
OpenAI and Microsoft have partnered with Oracle to meet growing computing demands to run ChatGPT.
The rundown:
OpenAI CEO Sam Altman has been transparent about his company’s need for more infrastructure. He says Oracle’s chips “will enable OpenAI to continue to scale.”
Microsoft’s compute alone hasn’t been enough to run ChatGPT without disruption.
Oracle’s cloud infrastructure will help OpenAI keep up with increasing demand and avoid future ChatGPT outages.
OpenAI says that the pre-training of frontier models will still happen on supercomputers built in partnership with Microsoft.
Why it matters: Just last week, ChatGPT experienced two major outages that lasted roughly seven hours in total. As generative AI experiences integrate into everyday devices like smartphones, industry leaders like OpenAI will need to continue to expand their computing power to achieve successful results.
AI TOOL OF THE DAY
🤖 Stability AI launches Stable Diffusion 3 Medium
Source: Helm on Medium
Stability AI just launched its most advanced text-to-image open model to date. Stable Diffusion 3 (SD3) Medium is available for free on HuggingFace for non-commercial uses or through Stable Assistant.
Key points:
SD3 Medium’s small size makes it a good AI image generation option for consumer PCs and laptops.
The model was designed to address shortcomings of other models, such as realism in hands and faces.
SD3 Medium is able to generate photorealistic images and typography in a variety of styles.
Stability AI says SD3 Medium is also able to understand more complex text prompts.
Quick take: Unfortunately, I’m unable to share my SD3 creations in this newsletter without buying a creator license. That said, this is a solid model that does not struggle with generating photorealistic outputs. Worth checking out if you’re interested in AI image generators.
BUSINESS SPOTLIGHT
📸 Mistral AI raises $640 million at $6 billion valuation
DALL-E 3
Paris-based Mistral AI closed its Series B funding round after raising around $640 million. The French startup is now valued at $6 billion.
The details:
Mistral AI is a relatively new company that is one of the only major European rivals to OpenAI, Anthropic and other industry leaders.
The company is working on foundational models designed to compete with highly advanced AI models like GPT-4o and Claude 3.
Mistral AI is backed by a powerful group of investors, including Nvidia, Microsoft, IBM, Samsung, Salesforce, Cisco and several venture capital funds.
After overperforming with limited funding over the last 18 months, the company is looking to translate its impressive engineering work into revenue.
Why it matters: The EU’s upcoming AI regulations could force American tools like ChatGPT out of the European market. While Mistral AI’s funding doesn’t rival leading American AI companies, it is positioned to capitalize on Europe’s push toward technological sovereignty. Keep this company on your radar.
MORE TRENDING NEWS
🚨 AI Roundup: Four quick hits
DALL-E 3
Broadcom raises revenue forecast as it aims to compete with Nvidia in the AI chip market.
Air Force launches generative AI platform similar to ChatGPT called “NIPRGPT.”
Apple briefly surpasses Microsoft as the most valuable company in the world after announcing Apple Intelligence.
The Biden administration considers further restrictions on China’s access to AI chip technology.
THAT’S ALL FOR TODAY