Future of work

Alphabet announces new data centres in South Carolina

Alphabet plans to invest $3.3 billion in South Carolina to establish two new data centres, according to CEO Sundar Pichai. This investment comes as the Google parent company and its competitors significantly enhance their infrastructure to support the growth of AI applications. The new data centre campuses will be located in Dorchester County, alongside an expansion of an existing facility in Berkeley County, as confirmed by the South Carolina governor’s office.

The new facilities in Dorchester County, located in the Pine Hill Business Campus in Ridgeville and Winding Woods Commerce Park in St. George, represent a $2 billion investment and are anticipated to create 200 operational jobs. Additionally, the expansion in Berkeley County will require another $1.3 billion investment. In July, Alphabet reported capital expenditures of $13 billion for the June quarter and indicated that spending would remain at or above $12 billion for the rest of 2024.

This announcement comes on the heels of Microsoft’s recent partnership with BlackRock and the Abu Dhabi-backed investment firm MGX to establish a fund exceeding $30 billion, focused on developing AI infrastructure, including the construction of data centres and energy projects.

James Cameron joins Stability AI board

James Cameron, renowned director of films like Titanic and The Terminator, has joined the board of Stability AI, an AI startup based in London. The company, known for its AI-driven image-generation tools, is aiming to transform visual media through innovative technologies.

Stability AI’s CEO, Prem Akkaraju, highlighted the importance of Cameron’s appointment in helping the firm achieve its goal of providing creators with a comprehensive portfolio of AI tools. The company has raised significant funding, including $80 million earlier this year, and is seen as a competitor to AI tools from Google and OpenAI.

Cameron expressed excitement about how generative AI and computer-generated imagery could revolutionise storytelling, offering artists unprecedented ways to bring their ideas to life. Stability AI’s tools include Stable Video Diffusion, a text-to-video generation platform.

While the relationship between AI and Hollywood has grown closer, it has also sparked controversy. In 2023, writers and actors went on strike, pushing for protections against the unregulated use of AI in film and television production. Cameron joins other notable figures on the board, such as former Facebook president Sean Parker.

Meta introduces prototype of Orion AR glasses

At its annual Connect conference, Meta Platforms unveiled its first working prototype of augmented-reality glasses called Orion. CEO Mark Zuckerberg described the chunky black glasses as a glimpse into a future where virtual and physical worlds merge seamlessly, referring to them as a “time machine” that could transform user interactions. The announcement also featured improved AI chatbot capabilities and a new Quest mixed-reality headset, contributing to a record closing high for Meta shares at $568.31.

The Orion glasses, made from magnesium alloy and powered by custom silicon designed by Meta, will include features like hand-tracking, voice controls, and a wrist-based neural interface. Meta plans to refine the glasses to make them smaller and more affordable for a projected consumer launch in 2027. However, previous attempts at AR by major tech companies have often encountered challenges. Analysts recognise Meta’s goal of making augmented reality accessible, but public scepticism about AI technology continues to be a significant barrier.

Although Zuckerberg did not demonstrate the glasses’ features live, a video showcased testers, including Nvidia CEO Jensen Huang, interacting with the device. Meta’s existing Ray-Ban smart glasses gained popularity after the introduction of an AI assistant, which will soon allow users to scan QR codes and stream music using voice commands. Future updates for these glasses are set to include real-time language translation and video generation capabilities.

Alongside its AR announcements, Meta unveiled several AI updates, including improved audio responses for its digital assistant, Meta AI, which can now mimic celebrity voices. With over 400 million monthly users, Meta is heavily investing in AI and AR technologies, anticipating record capital expenses of $37 billion to $40 billion for 2024. However, despite these investments, the Reality Labs division reported substantial losses of $8.3 billion in the first half of this year.

AI-written police reports spark efficiency debate

Several police departments in the United States have begun using AI to write incident reports, aiming to reduce time spent on paperwork. Oklahoma City’s police department was an early adopter of the AI-powered Draft One software, but paused its use to address concerns raised by the District Attorney’s office. The software analyses bodycam footage and radio transmissions to draft reports, potentially speeding up processes, although it may raise legal concerns.

Paul Mauro, a former NYPD inspector, noted that the technology could significantly reduce the burden on officers, who often spend hours writing various reports. However, he warned that officers must still review AI-generated reports carefully to avoid errors. The risk of inaccuracies or ‘AI hallucinations’ means oversight remains crucial, particularly when reports are used as evidence in court.

Mauro suggested that AI-generated reports could help standardise police documentation and assist in data analysis across multiple cases. This could improve efficiency in investigations by identifying patterns more quickly than manual methods. He also recommended using the technology for minor crimes while legal experts ensure compliance with regulations.

The potential for AI to transform police work has drawn comparisons to the initial resistance to bodycams, which are now widely accepted. While there are challenges, the introduction of AI in police reporting may offer long-term benefits for law enforcement, if implemented thoughtfully and responsibly.

Microsoft signs deal to power data centres with nuclear energy

America’s Three Mile Island energy plant, infamous for the worst nuclear accident in US history, is preparing to reopen after Microsoft signed a 20-year deal to purchase power from the facility. The plant is scheduled to restart in 2028 following upgrades and will supply clean energy to support Microsoft’s growing data centres, especially those focused on AI. The agreement is pending regulatory approval.

Constellation Energy, the plant owner, confirmed that the reactor set to restart is separate from the unit involved in the 1979 accident, which, while not fatal, created significant public fear surrounding nuclear power. This deal represents a revival of interest in atomic energy, driven by increasing concerns about climate change and rising energy needs. The CEO of Constellation described this move as a “rebirth” of nuclear power, highlighting its potential as a dependable source of carbon-free energy.

The plant’s reopening is projected to create 3,400 jobs and add over 800 megawatts of carbon-free electricity to the grid, driving significant economic activity. Although the revival has faced some protests, it underscores a growing trend among tech companies, with Amazon also exploring nuclear energy to meet its expanding energy demands.

Runway partners with Lionsgate to revolutionise film-making

Runway, a generative AI startup, has announced a significant partnership with Lionsgate, the studio responsible for popular franchises such as John Wick and Twilight. This collaboration will enable Lionsgate’s creative teams, including filmmakers and directors, to utilise Runway’s AI video-generating models. These models have been trained on the studio’s film catalogue and will be used to enhance their creative work. Michael Burns, vice chair of Lionsgate, emphasised the potential for this partnership to support creative talent.

Runway is considering new opportunities, including licensing its AI models to individual creators, allowing them to create and train custom models. This partnership represents the first public collaboration between a generative AI startup and a major Hollywood studio. Although Disney and Paramount have reportedly been discussing similar partnerships with AI providers, no official agreements have been reached yet.

This deal comes at a time of increased attention on AI in the entertainment industry, due to California’s new laws that regulate the use of AI digital replicas in film and television. Runway is also currently dealing with legal challenges regarding the alleged use of copyrighted works to train its models without permission.

New California laws safeguard actors from AI exploitation

California Governor Gavin Newsom has signed two new bills into law aimed at protecting actors and performers from unauthorised use of their digital likenesses through AI. The following measures have been introduced in response to the increasing use of AI in the entertainment industry, which has raised concerns about the unauthorised replication of performer’s voices and images. The first bill mandates that contracts unambiguously specify the use of AI-generated digital replicas and requires professional representation for performers during negotiations.

The second bill restricts the commercial use of digital replicas of deceased performers. It prohibits their appearance in films, video games, and other media unless the performer’s estate gives explicit consent. These steps are crucial in safeguarding the rights of performers in a rapidly evolving digital landscape, where AI-generated content is becoming increasingly prevalent.

The legislative actions mentioned highlight widespread concerns about AI technology, not just in entertainment but across different industries. The increasing use of AI has raised worries about its potential to disrupt sectors, lead to job displacement, and even pose a threat to democratic processes. Although President Biden’s administration has advocated for federal AI regulations, Congress is split, which makes it challenging to enact comprehensive national-level legislation.

Slack to transform into AI-powered work operating system

Slack is undergoing a major transformation as it integrates AI features into its platform, aiming to evolve from a simple messaging service to a ‘work operating system.’ CEO Denise Dresser said Slack will now serve as a hub for AI applications from companies like Salesforce, Adobe, and Anthropic. New, pricier features include AI-generated summaries of conversations and the ability to interact with AI agents for tasks such as data analysis, web searches, and image generation.

This shift follows Salesforce’s 2021 acquisition of Slack and its broader move toward AI-driven solutions. Slack’s AI integration seeks to enhance productivity by offering tools to catch up on team discussions, analyse business data, and create branded content, all within the chat environment. However, questions remain about whether users will embrace and pay for these premium features and how this change aligns with Slack’s core identity as a workplace communication tool.

Concerns around data privacy have also surfaced as Slack leans further into AI. The company faced criticism earlier this year for handling customer data, which was used for training purposes, but maintains that it does not use user messages to train its AI models. As Slack continues integrating AI, it must address growing scepticism around managing and safeguarding data.

AI tools in Microsoft 365 Copilot gain new business features

Microsoft is enhancing its $30-per-user Microsoft 365 Copilot subscription with new AI-driven features across Office apps. Excel now integrates Python with Copilot for advanced data analysis, while PowerPoint offers improved AI-assisted narrative building, and Word benefits from more efficient AI-generated drafts. The Copilot AI will also assist with organising Outlook inboxes.

Excel’s Python integration allows users to perform complex data analysis, such as forecasting and machine learning, using natural language commands. PowerPoint’s AI features can now help draft slide decks using company templates, and Teams will summarise both spoken and written conversations in meetings, helping organisers track important questions.

Outlook users will soon benefit from AI-powered inbox prioritisation, with Copilot sorting emails based on personal preferences. Additionally, the AI will be able to track keywords or topics, marking related emails as high priority. Word and OneDrive will also see updates, allowing users to reference data from emails, meetings, and documents seamlessly.

Microsoft aims to attract more businesses to Copilot, with Vodafone signing up for 68,000 licenses after successful trials. Microsoft reports that 60% of Fortune 500 companies now use Copilot, with daily usage nearly doubling each quarter.

Italy targets digital divide with AI-assisted learning

Italy is testing AI-assisted learning tools in selected schools to close the nation’s significant digital skills gap. Prime Minister Giorgia Meloni’s government has introduced the initiative in 15 classrooms across four regions, aimed at supporting both students and teachers through virtual assistants.

The AI tools are designed to tailor education to individual needs, providing an improved learning environment. Though few details have been provided, officials remain optimistic that the experiment will offer insights into a potential wider rollout. Education Minister Giuseppe Valditara emphasised the importance of these digital advancements for future generations.

Italy currently lags behind most EU countries in basic digital skills, ranking near the bottom of the bloc. The government has also introduced a ban on mobile phones in classrooms, a move aimed at reducing distractions and promoting focus.

The trial will be carefully monitored throughout the year to assess its effectiveness and inclusiveness, with the hope of addressing past struggles to digitalise Italy’s education system.