Apple’s iPhone 16 has struggled to generate excitement as its long-anticipated AI features remain in the testing phase. Meanwhile, Huawei is gaining momentum, unveiling a tri-fold smartphone that has attracted significant attention in the competitive global market.
After the release, Apple’s shares fell by 1.7%, reflecting concerns over the limited upgrades to the phone’s design and AI technology, which will only be available in beta next month. The lack of full AI integration has led to dissatisfaction in China, where users expressed frustration over missing features.
Huawei’s latest Mate XT smartphone, boasting advanced AI capabilities and priced at $2,800, has already secured over 4 million pre-orders. Analysts predict that, despite production constraints, the Mate XT’s innovative design could present a significant challenge to Apple.
As Huawei continues its resurgence following US sanctions, its dominance in China grows. In contrast, iPhone sales in China have dropped, and Apple now faces increased pressure from Huawei’s cutting-edge technologies in the high-end market.
OpenAI is set to launch its new AI model ‘Strawberry’ within the next two weeks as part of its ChatGPT service. The model is designed to focus on reasoning rather than instant responses, could offer a more thoughtful conversational experience.
Led by Sam Altman, OpenAI has generated strong interest and investment in AI technology. Businesses are increasingly turning to artificial intelligence to enhance their products, with OpenAI reporting over one million paying users across its services.
Jabil, a US-based electronics components manufacturer and supplier to Apple, will establish a new manufacturing facility in Tamil Nadu, India, with an investment of approximately 20 billion rupees ($238.2 million). The plant, located near the city of Trichy, will create around 5,000 jobs, according to Tamil Nadu’s Industries Minister T R B Rajaa, who announced the deal on social media following its signing in Chicago.
Matt Crowley, Jabil’s executive vice president, emphasised India‘s growing importance as a manufacturing hub, stating that the expansion would enable the company to better serve its customers. This new facility will complement Jabil’s existing operations in Pune, located in western India.
The government of Tamil Nadu has also signed an agreement with Rockwell Automation worth 6.66 billion rupees to expand manufacturing in the state. Another agreement, with Autodesk, has been signed, though its value has not been disclosed, according to Chief Minister M K Stalin.
Tamil Nadu is rapidly becoming a preferred destination for global manufacturing, with significant investments boosting the state’s role in India’s growing industrial sector.
FedEx has made a strategic investment in AI robotics and automation company Nimble to enhance its fulfilment services for small and medium-sized businesses. The investment aims to support FedEx’s Fulfilment unit, which assists businesses with order fulfilment and inventory management.
The investment comes as parcel delivery companies increasingly turn to automation to reduce costs and improve efficiency, particularly during periods of lower freight demand. FedEx believes Nimble’s automated third-party logistics solutions will help optimise supply chain operations across North America.
Scott Temple, president of FedEx Supply Chain, stated that the alliance with Nimble will expand the company’s presence in e-commerce, allowing FedEx to scale its fulfilment offerings throughout North America. The exact size of the investment has not been disclosed.
Nimble’s AI robotics technology is expected to help FedEx improve the efficiency of its fulfilment operations and further strengthen its position in the e-commerce sector.
OpenAI announced on Thursday that it now has over 1 million paying users across its ChatGPT business products, including Enterprise, Team, and Edu. The increase from 600,000 users in April highlights CEO Sam Altman’s success in driving enterprise adoption of the AI tool.
Recent reports suggest OpenAI executives are discussing premium subscriptions for upcoming large-language models, such as the reasoning-focused Strawberry and a new flagship model called Orion. Subscription prices could reach as high as $2,000 per month for these advanced AI tools.
ChatGPT Plus currently costs $20 per month, while the free tier continues to be used by hundreds of millions every month. OpenAI is also working on Strawberry to enable its AI models to perform deep research, refining them after their initial training.
The discussion around premium pricing follows news that Apple and Nvidia are in talks to invest in OpenAI, with the AI company expected to be valued at over $100 billion. ChatGPT currently has more than 200 million weekly active users, doubling its user base since last autumn.
Tata Consultancy Services (TCS) is harnessing generative AI to accelerate development in the rapidly growing field of engineering research and design, according to a senior executive. Sreenivasa Chakravarti, vice president of IoT and digital engineering at TCS, revealed that development cycles for clients such as Rolls Royce, Jaguar Land Rover, and Siemens have shortened by up to 20% thanks to AI integration.
Generative AI is being widely adopted by engineering-related clients to boost efficiency in code generation, testing, and quality assurance. This trend is reshaping budget allocations and product development strategies across industries. Engineering, research, and design services, which support sectors like self-driving technology and sustainability solutions, represent a significant portion of India’s $254 billion tech industry.
The engineering research and design niche is the fastest-growing sector in the Indian tech industry, with projections indicating it will quadruple in size to $170 billion by 2030. Pure-play software companies like TCS, Infosys, and Wipro are competing alongside specialised firms such as Tata Elxsi, Cyient, and L&T Technology Services in this booming sector.
As the core software services sector faces challenges, large IT firms are increasingly investing in the engineering space through acquisitions. Cognizant recently acquired Bulcan for $1.3 billion, while Infosys purchased German firm in-tech for $480 million.
The US Department of Justice has intensified its antitrust investigation into Nvidia by issuing a subpoena, according to reports from Bloomberg. The subpoena comes after previous questionnaires were sent, signalling the authorities’ increased scrutiny of the AI chipmaker’s business practices. Nvidia is accused of making it difficult for buyers to switch suppliers and potentially penalising customers who don’t exclusively use its AI chips.
The investigation reportedly stems from complaints by competitors who claim Nvidia may be abusing its market dominance. Several other companies have also received subpoenas as part of the broader probe. The escalating crackdown coincides with increased caution among investors regarding AI companies, as concerns about overspending and high expectations loom.
Despite a worldwide growth in demand for AI chips, Nvidia’s recent quarterly forecast disappointed investors, leading to a sharp drop in its share value. The company’s stock fell 2.5% in extended trading on Tuesday, following a 9.5% decline during regular market hours. This scrutiny adds further pressure to the AI giant during a sensitive period for the industry.
Nvidia declined to comment on the ongoing investigation, while the United States Department of Justice has yet to respond to requests for further information. The outcome of this probe could have significant implications for the company and the broader AI market.
In Nairobi, Kenya’s bustling tech hub, a new attraction draws crowds: the Robot Cafe, where robots deliver meals to diners. This innovative eatery, the first of its kind in East Africa, features three robots—Claire, R24, and Nadia—gliding between tables with food trays, captivating customers who come to witness this futuristic service. The cafe’s owner, Mohammed Abbas, was inspired to bring robot waiters to Kenya after experiencing them in Asia and Europe despite the high cost of importing the technology.
While the robots add a unique, entertaining element to the dining experience, they don’t replace human staff. Waiters still play a crucial role in taking orders and serving drinks, with the robots primarily handling food delivery. The technology highlights the potential for automation in the hospitality industry, but cafe manager John Kariuki notes that robots aren’t a cost-saving replacement for human workers. Instead, they complement the service, showing how human and robotic labour coexist.
Industry experts believe robotic and human service can thrive together, catering to different customer preferences. While some diners may enjoy the novelty of robot service, others still value the warmth and personal touch that only human waitstaff can provide. As Nairobi continues to grow as a tech hub, the Robot Cafe symbolizes the city’s embrace of innovation while recognizing the enduring importance of human interaction in hospitality.
Meta Platforms has announced plans to shut down its augmented reality studio, Meta Spark, which allowed third-party creators to design custom effects for Instagram and Facebook. The platform will close on 14 January, removing third-party AR effects such as filters, masks, and 3D objects created using the studio. However, their first-party AR effects will remain on its platforms, including Instagram, Facebook, and Messenger.
The decision aligns with Meta’s broader strategy to prioritise investments in AI and the metaverse, a virtual environment the company views as the future of the internet. In a blog post, the company confirmed that resources would now focus on developing the next generation of experiences, particularly in new factors like AR glasses. The shift in strategy has left many third-party creators, who relied on Meta Spark, searching for alternatives.
Many creators have expressed disappointment at the platform’s closure, with some considering moving to other AR creation tools like Snapchat’s Lens Studio or Unity. Despite the discontinuation, the tech giant reassured users that existing reels and stories featuring third-party AR effects will remain accessible. However, the Meta Spark Hub and studio files will no longer be available after the shutdown.
In recent months, the company has also announced the phasing out of other projects, such as its work-focused Workplace app, which will cease customer operation by June 2026. The company’s strategic focus on AI and emerging technologies reflects its ongoing efforts to redefine its core business in an increasingly competitive tech landscape.
BigCommerce is bolstering its AI capabilities through collaboration with Google, aiming to enhance online store performance and drive customer growth. The Austin-based company introduced a suite of new AI-focused solutions during its recent product launch, including tools for personalised product recommendations and AI-generated quote proposal emails, with plans for more features like semantic search and predictive analytics.
These enhancements build on BigCommerce’s partnership with GoogleCloud’s AI technology, which was formed about a year ago. The company is positioning itself against competitors like Shopify and Amazon, which have also integrated AI to improve their platforms. BigCommerce believes these updates will benefit merchants significantly, particularly in terms of efficiency and customer experience.
Despite a challenging journey since going public in 2020, BigCommerce is making substantial investments in AI, and it is already showing positive results. Recent earnings reports indicate an 11% increase in revenue, driven partly by the success of these AI tools, and a reduction in net losses compared to the previous year.
The company remains optimistic that its AI strategy will pay off, helping it compete more effectively in e-commerce. BigCommerce is committed to providing merchants with various AI-powered tools, enabling them to choose the best solutions for their unique needs.
