The morning briefing.

While you slept: A new AI startup raises $650M, SoftBank sees huge OpenAI gains, and Microsoft eyes Game Pass expansion into China.

RIGHT NOW, IN ONE BREATH

AI Frontier & Capital. The pursuit of advanced AI continues with significant investment, as startup Recursive emerged from stealth with $650 million to build self-improving AI, aiming for superintelligence. This reflects a broader trend of substantial capital flowing into frontier AI development. Meanwhile, SoftBank reported a massive $46 billion gain at its Vision Fund, primarily driven by its investment in OpenAI. Anthropic is also expanding its Claude AI capabilities, introducing new legal tools and 12 plugins for specialized applications.

AI Adoption & Enterprise. Major tech companies are intensifying efforts to integrate AI into enterprise solutions and facilitate customer adoption. Google is actively hiring hundreds of engineers to help clients implement its AI offerings, indicating a growing need for specialized support. SAP, after initial resistance, performed a U-turn, announcing it will bring AI features to its on-premise S/4HANA and ECC systems. This shift addresses customer demand for AI innovation beyond cloud-only strategies. Additionally, Chinese startup SEEKOO launched Anijam.ai, a multi-agent video platform, after raising tens of millions.

Hardware & Infrastructure. The foundational elements of AI, including specialized hardware and data center capacity, are seeing rapid development and strategic deployment. A little-known Chinese company is revealed as the sole global supplier of NVIDIA’s 78-layer AI server backplane, highlighting critical supply chain dependencies. Shanghai AI Lab achieved a breakthrough in chip photoresist resin using an AI-driven R&D platform, crucial for advanced semiconductor manufacturing. Furthermore, data centers are increasingly expanding into rural America, and Uber plans to establish its first data center in India in partnership with Adani Group.

Geopolitics & Regulation. The intersection of technology with international relations and regulatory oversight remains a key area of focus. A looming Trump-Xi meeting is expected to address critical tech stakes, including AI rivalry, chip exports, and supply chain security. Microsoft is also reportedly exploring an expansion of its Xbox Game Pass subscription service into the Chinese market, indicating strategic moves in regulated territories. In autonomous vehicle news, Waymo recalled thousands of robotaxis due to a risk of entering flooded roads, underscoring ongoing safety and regulatory challenges.

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AI startup Recursive emerges from stealth with $650 million to build self-improving AI

AI startup Recursive has officially launched, securing $650 million in funding. The company states that recursive self-improvement is the "fastest path to superintelligence."

Anthropic reveals new legal tools and 12 plugins for Claude AI

Anthropic is expanding Claude's capabilities with new connectors and 12 plugins designed for legal applications. These tools are also available in Cowork.

Google hiring hundreds of engineers to help customers adopt its AI

Google is recruiting hundreds of engineers to assist customers with the adoption of its AI technologies. This move suggests that AI implementation remains a complex challenge for many businesses.

SAP reverses course, brings AI features to on-premise S/4HANA and ECC

SAP has announced a U-turn, stating it will now bring AI features to its on-premise S/4HANA and ECC systems. CEO says there is "no confusion at all" after the cloud-only innovation plan drew criticism.

SEEKOO raises tens of millions, launches multi-agent video platform Anijam.ai

Hangzhou video AI startup SEEKOO, founded by former ByteDance and Tencent executives, has raised tens of millions of dollars. The company launched Anijam.ai, a multi-agent video platform with over 1,000 paying users.

Tsinghua spinoff open-sources MiniCPM-V 4.6, a 1.3B multimodal model for RTX 4090

OpenBMB and Tsinghua University have open-sourced MiniCPM-V 4.6, a 1.3B-parameter multimodal model. It can run on a single RTX 4090 while matching larger competitors on key benchmarks.

Chinese company WUS Printed Circuit powers NVIDIA's most advanced AI servers

Kunshan-based PCB maker WUS Printed Circuit is the only global supplier of NVIDIA’s 78-layer AI server backplane. The company recorded a 62.9% year-over-year profit increase in Q1 2026 due to strong AI server order growth.

Shanghai AI Lab achieves breakthrough in chip photoresist resin with AI platform

Shanghai AI Lab and university partners developed a high-purity KrF photoresist resin using an AI-driven synthesis platform. This achievement meets semiconductor manufacturing standards and is entering customer validation.

Data centers expanding into rural America, transforming former industrial sites

Data centers are increasingly being developed in rural areas, with one example being a former paper mill in Jay, Maine, being redeveloped into a data center. This trend brings new infrastructure to less urbanized regions.

Uber to set up first data center in India with Adani Group partnership

Ride-hailing giant Uber is establishing its first data center in India through a partnership with the Adani Group. This marks a significant infrastructure investment in the region.

Trump-Xi meeting to cover AI rivalry, chip exports, and supply chain security

A U.S.-China summit is expected to address key technology issues, including AI rivalry, chip exports, supply chain security, and the EV trade. Leaders will navigate intensifying geopolitical tensions.

Microsoft Xbox PC app hints at China expansion for Game Pass

References to "Project Saluki" in a recent Xbox PC app update suggest Microsoft is working on expanding Game Pass, Rewards, and subscription tiers to the China market. Xbox Game Pass is not currently available in China.

Waymo recalls thousands of robotaxis over risk of entering flooded roads

Waymo issued a voluntary recall for thousands of its robotaxis following an incident where an empty vehicle entered a flooded road in San Antonio, Texas. The recall addresses safety concerns related to environmental conditions.

SoftBank Vision Fund posts $46 billion gain, driven by OpenAI investment

SoftBank reported a yearly gain of $46 billion at its Vision Fund. This significant increase was largely driven by the substantial rise in value of its investment in OpenAI.