Google has released FunctionGemma, a specialized version of the compact Gemma 3 270M language model. Built on the base model introduced in August, this version is specifically tuned for "function calling." This lets the AI do more than just generate text - it can pass specific commands to software, executing tasks like creating calendar entries or controlling game elements. Android users can test these capabilities with a farming mini-game in the AI Edge Gallery, where prompts like "Plant the sunflower seed in plot 8" direct the gameplay. A demo with physics puzzles is also available, allowing users to solve problems directly in their browser using natural language.

Thanks to its compact size, the model runs locally on devices like smartphones, boosting data privacy and reducing lag. Google claims that further training can increase the system's reliability from 58 to 85 percent. FunctionGemma acts as a bridge between natural language and software, and can even serve as a "traffic controller" that routes complex queries to larger models. The model is available now on platforms like Hugging Face and Kaggle.

OpenAI is significantly expanding the availability of ChatGPT Go, its budget-friendly subscription tier. Following a launch in India in August, the plan is now available in over 70 additional countries—including markets across Europe and South America—according to an updated support page. In Germany, the service costs 8 euros per month. Beyond extended access to the flagship model, the subscription adds capabilities for image generation, file analysis, and data evaluation, along with a larger context window for handling longer conversations. Users can also organize projects and build their own custom GPTs. However, the plan excludes access to Sora, the API, and older models like GPT-4o.

The broader rollout comes alongside a cost-saving adjustment to how the system handles queries. OpenAI recently removed the automatic model router for users on the free tier and the Go subscription. By default, the system now answers requests using the faster GPT-5.2 Instant. Users must manually switch to more powerful reasoning models when needed, as the automatic routing feature is now exclusive to the higher-priced plans.

Anthropic is releasing "Agent Skills" as an open standard at agentskills.io. The idea is to make these skills interoperable across different platforms, meaning a capability that works in Claude should function just as well in other AI systems. Anthropic likens this strategy to the Model Context Protocol (MCP) and notes that it is already working with ecosystem partners on the project. OpenAI already adopted skills.

The company is also upgrading how skills function within Claude. These skills are basically repeatable workflows that customize the AI assistant for specific jobs. Administrators on Team and Enterprise plans can now manage skills from a central hub and push them to every user in their organization, though individuals still have the option to turn them off.

Creating these skills has also gotten easier: users just describe what they need, and Claude helps configure it. Anthropic has also launched a directory of partner skills from companies like Notion, Canva, Figma, and Atlassian at claude.com/connectors. Developers can find technical documentation at platform.claude.com/docs, and skills are now live across Claude apps, Claude Code, and the developer API.

European AI startup Lovable has raised $330 million in a Series B financing round, bringing its valuation to $6.6 billion. Google led the round, with additional backing from Nvidia, HubSpot, and Deutsche Telekom.Lovable, which allows users to build web applications through simple text prompts, has quickly become one of the fastest-growing startups in the world. The company says its Sweden-based team of 120 employees hit $100 million in annual recurring revenue just eight months after reaching its first million. This follows a massive summer for the company, where it secured one of the largest European Series A rounds on record - raising $200 million at a $1.8 billion valuation.

Lovable calls its mission the "Age of the Builder" - a time when people without coding experience, such as teachers, marketers, or founders, can turn their ideas into working software on their own. Despite its rapid growth, Lovable still trails market leaders like ChatGPT in total user numbers. The space is also becoming increasingly competitive: US rival Cursor recently raised $2.3 billion, highlighting both the intense competition in AI-assisted software development, but also the difference in investment volume.

Mistral AI has released Mistral OCR 3, an updated version of its document analysis model. The system goes beyond basic extraction—it can interpret cursive handwriting, dense form layouts, and complex table structures, including linked cells. According to the company, this third version outperforms its predecessor in 74 percent of cases, showing particular strength in handling handwriting, scanned forms, and complex tables. OCR 3 also stacks up well against Deepseek's specialized character recognition model.

The model is available through an API or the Document AI platform introduced in May. Pricing sits at two dollars per 1,000 pages, with discounts available for bulk orders. The French company—which recently secured a large investment from chip manufacturer ASML—is using this release to solidify its position in document recognition, even as its current generation of open-weight language models trails behind commercial competitors from the US.