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STMicroelectronics unveils new AI chip for data centres

STMicroelectronics has announced the launch of a new computer chip aimed at the rapidly expanding AI data centre market. Developed in collaboration with Amazon Web Services (AWS), the photonics chip uses light rather than electricity, which helps increase speed and reduce power consumption in AI data centres. These chips are expected to be used in transceivers, which are crucial components in data centre infrastructure.

As top US software companies plan to invest $500 billion into AI infrastructure, there is rising demand for specialised chips, not only for computing but also for memory, power, and communications applications. ST’s new chip targets the communications sector, with a focus on improving the efficiency of transceivers, which are essential in AI data centres. The company also has a collaboration agreement with AWS to deploy this technology in their infrastructure later this year.

ST is working with a leading provider of optical solutions, although the company’s name has not been disclosed, to integrate the new chip into next-generation transceivers. The market for such devices, valued at $7 billion in 2024, is expected to grow significantly, reaching $24 billion by 2030. ST will begin mass production of these chips at its facility in Crolles, France.

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AI chip boom drives Lam Research’s latest tool innovations

Lam Research has introduced two new chipmaking tools designed to support the growing demand for advanced AI semiconductors. The company unveiled ALTUS Halo, a deposition tool that applies molybdenum layers to chips, enhancing their performance and enabling further scaling for next-generation devices.

Micron Technology has already adopted the tool, bringing molybdenum into mass production, according to executive Mark Kiehlbauch.

Alongside ALTUS Halo, Lam launched Akara, an etching tool that removes excess material from semiconductor wafers, creating precise chip structures essential for complex AI applications.

These innovations position Lam to compete with major players in wafer fabrication equipment, including Applied Materials, ASML, and KLA Corp.

As AI-driven semiconductor demand surges, major clients like Micron, Samsung Electronics, and Taiwan Semiconductor Manufacturing Co (TSMC) are relying on advanced manufacturing tools.

TSMC executive Y.J. Mii highlighted the need for innovative solutions to develop more powerful chip architectures. In January, Lam reported a strong third-quarter revenue forecast, signalling positive growth amid the AI chip boom.

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iPhone 16e launches as Apple’s $599 budget option

Apple has unveiled the iPhone 16e, a budget-friendly smartphone priced at $599, aimed at mid-market customers in key regions such as China and India.

The launch marks Apple’s attempt to revitalise declining sales and better compete with Android rivals like Samsung and Huawei, which are also adding artificial intelligence tools to their devices.

Designed as a successor to the SE series, the iPhone 16e incorporates features closer to flagship models, including the A18 chip for AI functions powered by Apple Intelligence.

Though missing a wide-angle lens and a camera control button, the 16e sports a 48-megapixel dual-camera system, a 6.1-inch display, and Apple’s Face ID. It also introduces the C1 chip, the company’s first in-house modem for cellular connectivity.

The iPhone 16e, available only in black and white, costs $200 less than the base iPhone 16. Analysts believe it will appeal to cost-sensitive markets where upfront payments are common. Pre-orders open on February 21 across 59 countries, with shipping set to begin on 28 February.

Apple forecasts stronger sales growth as it integrates AI features into more regions, although adoption has been slow. The 16e may provide a cost-effective entry point for customers seeking Apple’s latest technology without the premium price.

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Microsoft partners with Ninja Theory on AI project

Microsoft has introduced an AI model, named Muse, designed to assist in generating visuals and actions for video games. Developed in collaboration with Ninja Theory, part of Xbox Game Studios, Muse aims to streamline game development as rising costs and economic uncertainty challenge the industry.

The tool is already being used to create a real-time playable AI model, trained using data from other first-party games.

The gaming sector has faced increasing pressure as production expenses soar and players gravitate towards familiar titles. Microsoft’s move into AI-driven game design seeks to reduce development costs while enhancing creativity for both players and developers.

Muse could simplify complex game creation tasks, allowing studios to focus more on storytelling and gameplay innovation.

Fatima Kardar, corporate vice president for gaming AI at Microsoft, highlighted the broader potential of Muse, suggesting that it could eventually benefit both gamers and creators.

The company sees AI as a key tool in evolving game design and tackling industry challenges, positioning Muse as a step towards more efficient and imaginative game development.

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Google unveils virtual AI collaborator for scientists

Google has introduced an AI tool designed to act as a virtual collaborator for biomedical researchers. Tested by Stanford University and Imperial College London, the tool helps scientists analyse large volumes of literature and generate new hypotheses. It uses advanced reasoning to streamline research processes and assist in problem-solving.

DeepMind, Google’s AI unit, has prioritised science in its innovations. The unit’s leader, Demis Hassabis, recently shared a Nobel Prize in Chemistry for groundbreaking AI technology. In an experiment addressing liver fibrosis, the AI tool proposed promising solutions, showing potential to improve expert-generated approaches over time.

The system is not intended to replace scientists but to enhance their work. Google stated that the tool could accelerate scientific advancements, offering new possibilities for tackling complex challenges. Researchers involved in the project highlighted its role in fostering collaboration, rather than diminishing it.

Experts see this development as part of a growing trend in using AI across various industries. Successes like ChatGPT have demonstrated AI’s ability to support tasks ranging from customer service to legal research.

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Gemini AI now requires separate app on iOS

Google has removed its AI assistant, Gemini, from the main Google app on iOS, encouraging users to download the standalone Gemini app instead. The change, announced via an email to customers, is seen as a strategic move to position Gemini as a direct competitor to AI chatbots like ChatGPT and Claude.

The dedicated Gemini app allows users to interact with the AI assistant through voice and text, integrate it with Google services like Search and YouTube, and access advanced features such as AI-generated summaries and image creation. Those who attempt to use Gemini in the main Google app will now see a message directing them to the App Store.

While the shift may enable Google to roll out new AI features more efficiently, it also risks reducing Gemini’s reach, as some users may not be inclined to download a separate app. The company is also promoting its Google One AI Premium plan through the Gemini app, offering access to its more advanced capabilities.

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New Google tool helps users rethink their career paths

Google has introduced Career Dreamer, a new AI-powered tool designed to help users discover career possibilities based on their skills, education, and interests. Announced in a blog post, the experiment aims to offer personalised job exploration without the need for multiple searches across different platforms.

The tool creates a ‘career identity statement’ by analysing users’ past and present roles, education, and experiences, which can be used to refine CVs or guide interview discussions. Career Dreamer also provides a visual representation of potential career paths and allows users to collaborate with Gemini, Google’s AI assistant, to draft cover letters or explore further job ideas.

Unlike traditional job search platforms such as LinkedIn or Indeed, Career Dreamer does not link users to actual job postings. Instead, it serves as an exploratory tool to help individuals, whether students, career changers, or military veterans, identify roles that align with their backgrounds. Currently, the experiment is available only in the United States, with no confirmation on future expansion.

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New AI feature from Superhuman tackles inbox clutter

Superhuman has introduced a new AI-powered feature called Auto Label, designed to automatically categorise emails into groups such as marketing, pitches, social updates, and news. Users can also create custom labels with personalised prompts and even choose to auto-archive certain categories, reducing inbox clutter.

The company developed the tool in response to customer complaints about an increasing number of unwanted marketing and cold emails. While Gmail and Outlook offer spam filtering, Superhuman’s CEO, Rahul Vohra, said their new system aims to provide more precise classification. However, at launch, users cannot edit prompts for existing labels, meaning they must create new ones if adjustments are needed.

Superhuman is also enhancing its reminder system. The app will now automatically surface emails if a response is overdue and can draft AI-generated follow-ups in the user’s writing style. Looking ahead, the company plans to integrate personal knowledge bases, automate replies, and introduce workflow automation, making email management even more seamless.

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AI’s rapid rise sparks innovation and concern

AI has transformed everyday life, powering everything from social media recommendations to medical breakthroughs. As major tech companies and governments compete to lead in AI development, concerns about ethics, bias, and environmental impact are growing.

AI systems, while capable of learning and processing vast amounts of data, lack human reasoning and empathy. Generative AI, which creates text, images, and music, has raised questions about misinformation, copyright issues, and job displacement.

AI’s influence is particularly evident in the workplace, education, and creative industries. Some experts fear it could worsen financial inequality, with automation threatening millions of jobs.

Writers, musicians, and artists have criticised AI developers for using their work without consent. Meanwhile, AI-generated misinformation has caused controversy, with major companies halting or revising their AI features after errors.

The technology also presents security risks, with deepfakes and algorithmic biases prompting urgent discussions about regulation.

Governments worldwide are introducing policies to manage AI’s risks while encouraging innovation. The European Union has imposed strict controls on AI in sensitive sectors with the AI Act, while China enforces rules ensuring compliance with censorship laws.

The United Kingdom and the United States have formed AI Safety Institutes to evaluate risks, though concerns remain over AI’s environmental impact. The rise of large data centres, which consume vast amounts of energy and water, has sparked debates about sustainability.

Despite these challenges, AI continues to advance, shaping the future in ways that are still unfolding.

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India faces AI challenge as global race accelerates

China’s DeepSeek has shaken the AI industry by dramatically reducing the cost of developing generative AI models. While global players like OpenAI and Microsoft see potential in India, the country still lacks its own foundational AI model.

The Indian government aims to change this within 10 months by supplying high-end chips to startups and researchers, but experts warn that structural issues in education, research, and policy could hold back progress.

Despite being a major hub for AI talent, India lags behind the United States and China in research, patents, and funding. State-backed AI investments are significantly smaller than those in the two superpowers, and limited private investment further slows progress.

The outsourcing industry, which dominates India’s tech sector, has traditionally focused on services rather than developing AI innovations, leaving startups to bridge the gap.

Some industry leaders believe India can still make rapid advancements by leveraging open-source AI platforms like DeepSeek. However, long-term success will require building a strong research ecosystem, boosting semiconductor production, and securing strategic autonomy in AI.

Without these efforts, experts caution that India may struggle to compete on the global AI stage in the coming years.

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