The UK government has partnered with AI startup Anthropic to explore the use of its chatbot, Claude, in public services. The collaboration aims to improve access to public information and streamline interactions for citizens.
The initiative aligns with Prime Minister Keir Starmer’s ambition to establish the UK as a leader in AI and enhance public service efficiency through innovative technologies.
Technology minister Peter Kyle highlighted the importance of this partnership, emphasising its role in positioning the UK as a hub for advanced AI development.
Claude has already been employed by the European Parliament to simplify access to its archives, demonstrating its potential in reducing time for document retrieval and analysis.
This step underscores Britain’s commitment to leveraging cutting-edge AI for the benefit of individuals and businesses nationwide.
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The meeting also explored ways to strengthen cooperation in emerging technologies, entrepreneurship, and governance, according to India‘s foreign ministry. Modi’s visit to the United States has brought key discussions on commercial space activities and technological collaboration between the two countries.
Starlink’s potential entry into the Indian market was reportedly a key topic of discussion. The satellite internet provider has long sought to operate in India but has faced regulatory challenges and opposition from local competitors, including billionaire Mukesh Ambani’s company.
The Indian government has supported Musk’s stance that satellite spectrum should be assigned rather than auctioned, but Starlink’s licence application remains under review.
India’s decision on Starlink could reshape the country’s satellite internet sector and influence its position in the global space race.
SpaceX‘s dominance in satellite launches and internet services has already impacted global markets, and its expansion into India would be a significant step in its international growth. Musk continues to act as a crucial link between world leaders and SpaceX, which plays a key role in the Western space industry.
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Apple is preparing to introduce its AI features to iPhones in China by mid-year. Efforts include significant software adaptations and collaboration with local partners to meet the country’s unique requirements.
Teams based in China and the US are actively working to customise the Apple Intelligence platform for the region. Insiders suggest the launch could happen as early as May, provided technical and regulatory challenges are resolved.
Regulatory compliance remains a critical hurdle for Apple. The project reflects the company’s growing emphasis on localising its technology for key international markets, including China.
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A Tesla Cybertruck in self-driving mode collided with a pole in Reno, Nevada, after failing to merge out of an ending lane. The crash occurred while using Tesla’s Full Self-Driving (FSD) software, which still requires human oversight.
The driver, Jonathan Challinger, reported potential mechanical issues and urged caution to others, warning about complacency when using the feature.
The incident has reignited debate over the safety of Tesla’s self-driving technology. Experts pointed to lane merging and sudden road changes as persistent challenges for AI-driven systems.
Tesla’s reliance on cameras alone, rather than redundant systems used by other automakers, has raised additional concerns about its ability to handle poor visibility or complex conditions.
CEO Elon Musk recently promoted the improved safety of the technology, dubbed Version 13, and announced plans to launch a paid robotaxi service later this year. The rollout will begin in Texas, where regulations on autonomous vehicles are minimal, followed by California and other regions in the US.
Experts argue that the crash highlights unresolved issues with the software, casting doubt on Tesla’s readiness for driverless operation.
A successful robotaxi programme is critical for Tesla’s growth amid slowing demand for its existing electric vehicle lineup. However, the Cybertruck crash has raised fresh questions about whether the company is pushing its self-driving technology too far, too soon.
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US electric utilities are significantly increasing their capital investment plans to expand power generation and strengthen the grid as AI and cloud computing drive up electricity consumption.
Companies such as PPL Corp, Dominion, and Exelon have revised their spending plans upward, with PPL announcing a nearly 40% increase to $20 billion through 2028.
The surge in demand is largely fuelled by data centres, which are now being built at an unprecedented scale, reaching capacities of up to 1 gigawatt per site.
Utility executives have dismissed concerns that market disruptions, such as Chinese AI startup DeepSeek’s recent emergence, would weaken demand from major tech firms.
Instead, companies including American Electric Power (AEP) and Duke Energy have received assurances from technology customers that their expansion plans remain unchanged. AEP is considering adding $10 billion to its existing $54 billion capital plan, while Duke is increasing its five-year spending by $10 billion.
Rising demand for electricity is expected to reach record levels in the US by 2026, driven not only by data centres but also by manufacturing and electrification in sectors like transportation.
While utilities race to expand power supplies, regulatory approval remains a challenge, and increased investment could lead to higher electricity costs for households and businesses.
Some utilities are also exploring whether data centres should bear a greater share of the costs associated with grid expansion.
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AI is set to revolutionise wealth management by lowering the barriers to entry for new players, according to a Microsoft executive. Martin Moeller, head of AI for financial services at Microsoft, highlighted that AI’s ability to process vast amounts of data could allow small teams or even individuals to offer services that traditionally required entire teams at banks. This shift is expected to reshape the competitive landscape, much like the internet did decades ago.
AI is already being used in the financial sector, with Swedish payment provider Klarna employing AI from OpenAI to handle tasks previously carried out by 700 employees. UBS, the world’s largest asset manager, also sees significant potential in AI to boost productivity and ease job functions. AI is expected to reduce operational costs for startups and allow banks that have not been involved in wealth management to enter the market with minimal investment.
Customer behaviour is also changing, with younger entrepreneurs increasingly managing their own investments. In response, banks are using AI to enable customers to consolidate financial information independently. While AI currently does not provide specific investment advice, ‘agentic AI’ is expected to be developed in the next two years, which will make independent decisions without human input, further transforming the industry.
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Alibaba has announced a new partnership with Apple to support the development of AI services for iPhones in China, a move that aims to help Apple counter declining smartphone sales in its crucial market. The collaboration is seen as a significant win for Alibaba, which is gaining ground in China’s competitive AI industry, dominated by local players like DeepSeek. This deal comes after months of speculation regarding Apple’s AI strategy in the region, as the tech giant held discussions with other Chinese companies such as Baidu, ByteDance, and Tencent.
While the specifics of the partnership are still unclear, Alibaba’s chairman Tsai noted that Apple chose their AI technology to power its phones in China. The two companies have already submitted necessary regulatory materials to Chinese authorities, as consumer-facing AI products in the country require approval. Alibaba’s stock saw a notable rise following the announcement, reflecting investor optimism about the deal.
The timing of this collaboration is crucial for Apple, which has faced challenges in China, including falling iPhone sales and increased competition from domestic rivals like Huawei. Analysts suggest that Apple’s struggles in the region are partly due to the lack of advanced AI features in its phones, a growing demand in the Chinese market. Apple’s sales in Greater China dropped significantly in late 2024, and the company lost its top position in the market to local players like Vivo and Huawei.
For Alibaba, the partnership underscores its growing strength in AI, with its stock price surging in 2025. The company’s Qwen 2.5 AI model, which surpassed the capabilities of competitors, has become a focal point of its recent success. As Apple seeks to re-establish its presence in China, the effectiveness of this AI collaboration will likely play a critical role in its future in the market.
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The rise of DeepSeek’s AI models is offering Chinese chipmakers like Huawei a better chance to compete in the domestic market against the powerful processors from US companies like Nvidia. For years, Huawei and other Chinese manufacturers have struggled to match Nvidia’s high-end chips, which are essential for training AI models. However, DeepSeek’s focus on ‘inference’ rather than raw processing power has led analysts to believe that it could help close the gap between Chinese-made processors and their US counterparts. Inference refers to the phase where AI models use trained data to make predictions, a process less reliant on heavy computational resources.
Several Chinese AI chipmakers, including Huawei, EnFlame, and Moore Threads, have recently stated that their products will support DeepSeek models, although few details have been disclosed. Industry executives predict that DeepSeek’s open-source nature and its low fees will drive the adoption of AI, helping Chinese companies bypass US export restrictions on advanced chips. In fact, Chinese chips like Huawei’s Ascend 910B have already been recognised as better suited for inference tasks, which require less computational power than training.
Despite these developments, Nvidia still dominates the global AI chip market. Analysts point out that while Chinese chips are cost-effective for inference tasks, Nvidia’s superior chips remain the preferred choice even for inference. Nvidia’s CUDA platform, which provides developers with a robust software environment, remains a key advantage, and Chinese companies like Huawei have struggled to convince developers to abandon CUDA in favour of their platforms, such as Huawei’s Compute Architecture for Neural Networks (CANN). The software performance of Chinese AI chips continues to lag behind, making it challenging for them to directly challenge Nvidia’s dominance.
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Elon Musk has stated he will withdraw his $97.4 billion bid for OpenAI’s non-profit arm if the company halts plans to become a for-profit entity. Musk’s lawyers clarified in a court filing that if OpenAI’s board agrees to maintain the charity’s mission and remove the ‘for sale’ sign from its assets, he will retract his offer. However, if the conversion to a for-profit model continues, Musk’s consortium insists the charity must be compensated by what an independent buyer would pay for its assets.
OpenAI, originally founded by Musk and Sam Altman in 2015 as a non-profit, is in the midst of restructuring. Altman, now CEO, has moved to create a for-profit unit within the organisation to attract investors like Microsoft.
Musk, who left the company over disagreements with Altman, is suing to block this transition. This legal battle intensified this week when Musk’s group made a bid to purchase the non-profit’s assets, which Altman has rejected, stating that the organisation is not for sale.
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OpenAI has announced plans to simplify its artificial intelligence product line by combining its o-series and GPT-series models into a unified system. CEO Sam Altman revealed the strategy in a post on X, highlighting the need for more accessible AI tools.
The decision marks a shift away from standalone releases, such as the previously unveiled o3 and o3 mini models.
The company aims to launch GPT-5 as a comprehensive AI system that incorporates the features of earlier models, addressing user concerns about complexity. Altman stressed the importance of creating tools that ‘just work’ while providing no exact timeline for the rollout.
OpenAI also plans to release GPT-4.5, codenamed ‘Orion’, as its final non-chain-of-thought model.
The announcement follows increased scrutiny over AI development costs, with competitors like China’s DeepSeek introducing more affordable alternatives. The move aligns with OpenAI’s efforts to remain competitive while addressing usability issues.
By streamlining its offerings, OpenAI hopes to deliver systems capable of handling diverse tasks and leveraging available tools seamlessly. The new roadmap reflects a broader industry trend towards efficiency and user-centric design.
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