Ad
Skip to content
Subscribe Now
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
Short News
Copy the url to clipboard Share this article Go to comment section
Read full article about: Alibaba's new open Qwen image model aims for more natural-looking results

Alibaba has released Qwen-Image-2512, an update to its text-to-image model. The company says the new version does a better job generating realistic images of people, with finer facial detail and less of the artificial look that plagued earlier versions.

The updated image model aims to eliminate the "plastic" look of its predecessor. | Image: Qwen

The display of text in images, for example, in infographics or presentations, has also been improved. Landscapes, animal fur, and other natural elements also come out with finer detail.

The new Qwen model handles text in images better than before. | Image: Qwen

In over 10,000 blind tests on Alibaba's AI Arena platform, Qwen-Image-2512 came in fourth overall, making it the top-ranked open-source model, according to Alibaba. It's up against other open models like HunyuanImage-3.0, Z-image, and Flux.2.

Qwen-Image-2512 is available on Hugging Face and ModelScope, and you can try it out through Qwen Chat. More details are in the Tech Report and on the blog.

Comment Source: Hugging Face / Qwen-Image-2512 | ModelScope / Qwen-Image-2512 | Qwen Chat / Demo | Qwen / Tech Report | Qwen / Blog
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
Short News
Copy the url to clipboard Share this article Go to comment section
Read full article about: OpenAI's stock compensation averages $1.5 million per employee, dwarfing every tech startup in history

OpenAI is handing out stock-based compensation averaging $1.5 million per employee, about 34 times what major tech companies typically paid before going public. According to financial data shown to investors and reported by the Wall Street Journal, the company's roughly 4,000 employees are getting more than any tech startup has ever offered. That's also more than seven times what Google paid back in 2003.

Share-based compensation as a percentage of annual revenue

Company Share of turnover
OpenAI 46,2 %
Palantir 32,6 %
Alphabet (Google) 14,6 %
Meta (Facebook) 5,9 %
Average (18 tech companies) ~6 %

Sources: Wall Street Journal, Equilar analysis. All figures refer to the year before each company's IPO, except OpenAI, which uses 2025 projections.

The generous pay is meant to keep OpenAI ahead in the AI race, but it's also pushing up losses. Meta CEO Mark Zuckerberg has turned up the pressure by offering top employees packages worth hundreds of millions of dollars and poaching more than 20 OpenAI staffers. OpenAI expects its compensation costs to climb by $3 billion annually through 2030.

Comment Source: Wall Street Journal
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
Short News
Copy the url to clipboard Share this article Go to comment section
Read full article about: Nvidia reportedly in talks to acquire AI start-up AI21 Labs for up to $3 billion

Nvidia is reportedly in advanced negotiations to acquire Israeli AI start-up AI21 Labs, according to a report by Calcalist. The deal could be worth between two and three billion dollars. AI21 was valued at $1.4 billion during its last funding round in 2023, with both Google and Nvidia among its investors.

Similar to its recent Groq deal, Nvidia appears primarily interested in AI21's workforce. The company employs around 200 people, most of whom hold advanced degrees and have rare expertise in AI development. At the reported deal value, Nvidia would be paying roughly $10 to $15 million per employee.

AI21, based in Tel Aviv, was founded in 2017 by Professor Amnon Shashua, Professor Yoav Shoham, and Ori Goshen. The company builds large language models and offers software tools, including an agent builder. Its products target enterprise customers, with estimated annual revenue of around $50 million.

Comment Source: Calcalist
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
Short News
Copy the url to clipboard Share this article Go to comment section
Read full article about: Nvidia plans H200 production ramp at TSMC while China debates whether to let the chips in

Nvidia's China business is ramping up again. According to Reuters, the chip company is in talks with contract manufacturer TSMC to expand production of its H200 AI chips to meet surging demand from China. Chinese tech companies have ordered more than two million H200 chips for 2026, but Nvidia currently only has 700,000 units available.

Production at TSMC is set to begin in the second quarter of 2026, with Nvidia planning to sell the chips for around $27,000 each. ByteDance alone, TikTok's parent company, plans to spend around 100 billion yuan (about $14 billion) on Nvidia chips in 2026, according to the South China Morning Post.

The Trump administration recently cleared H200 chip exports to China with a 25 percent fee attached. However, China hasn't approved the imports yet. Officials there are still debating whether access to advanced foreign chips might slow down the country's domestic chip industry. One proposal under consideration would require every H200 order to include a certain percentage of chips made in China.

China is also working on a rule that would require domestic chip manufacturers to use at least 50 percent locally made equipment.

Comment Source: Reuters | South China Morning Post
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
Short News
Copy the url to clipboard Share this article Go to comment section
Read full article about: Microsoft CEO Nadella reportedly enters "Founder Mode" to keep pace with AI rivals Amazon, Google, and Anthropic

Microsoft CEO Satya Nadella has reportedly entered "founder mode." According to the Financial Times, Nadella has shaken up Microsoft's management to keep pace with Amazon, Google, and startups like Anthropic. "Satya is trying to demonstrate a sense of urgency," one executive said. "The goal is to get out of some of the structures that exist and make the route to him easier."

Nadella has brought in several new executives, including former Meta technology chief Jay Parikh. Mustafa Suleyman, co-founder of Google Deepmind, now leads Microsoft's in-house AI development with his own budget and salary structure. The move has created internal friction, but Microsoft is accepting that to stay competitive for AI talent.

Microsoft remains strong overall, especially thanks to its Azure cloud AI services, but faces tough challenges ahead. The company will lose exclusive rights to OpenAI's research and models in the early 2030s, and OpenAI is no longer required to use Microsoft's data centers. Meanwhile, Copilot's 150 million users trail Google's Gemini (650 million) and ChatGPT (800 million). Nadella has reportedly already stepped in to influence development directly.

Comment Source: Financial Times
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
Short News
Copy the url to clipboard Share this article Go to comment section
Read full article about: xAI snaps up Mississippi warehouse for third massive data center as Musk eyes two gigawatts of AI power

Elon Musk's xAI keeps growing its data center footprint. According to Musk and The Information, the AI company has snapped up a warehouse in Southaven, Mississippi, where it plans to build a third massive data center. Construction is set to begin in 2026. The new facility sits right next to xAI's existing Colossus 2 data center in Memphis. Musk says the expansion will push xAI's total computing power to nearly two gigawatts.

The new data center's name takes a jab at Microsoft. | Screenshot via X

The new data center goes by "Macrohardrr," a not-so-subtle dig at Microsoft. The name reflects Musk's ambition to build xAI into an AI software company that can go toe-to-toe with Microsoft. Back in early December, Musk teased the move on X, posting "MACROHARDER coming soon" in response to a satellite image showing the word "Macrohard" painted on the roof of Colossus 2.

Comment Source: The Information | Musk via xAI
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
AI in practice
Copy the url to clipboard Share this article Go to comment section

Meta pays $3 billion for Manus AI after startup cut all Chinese ties to clear regulatory hurdles

Meta is buying AI agent startup Manus AI, a system built on competitor models. The deal shows how far the company has fallen behind on AI agents despite billions in spending. Still, the acquisition could be a smart shortcut.

Read full article
Comment
Matthias Bastian
Matthias Bastian View the LinkedIn Profile of Matthias Bastian
Dec 31, 2025
AI in practice
Copy the url to clipboard Share this article Go to comment section

China's semiconductor independence push is turning US export controls into a domestic boom

China is forcing chipmakers to use at least 50 percent domestic equipment in new factories. The undocumented rule is Beijing’s answer to US export restrictions; and a major step toward breaking the country’s dependence on Western technology.

Read full article
Comment