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Benchmark is investing $60 million in HeyGen, an AI video startup with a valuation of $440 million. This is six times HeyGen's valuation four months ago, reports The Information. The startup, which was founded in China and is now based in Los Angeles, uses AI to create avatars with lip-synced voices. According to The Information, the startup has annual revenue of more than $20 million, up significantly from $1 million a year ago. HeyGen targets business customers and competes with other AI video startups such as Synthesia and Runway. The three-year-old company has ties to Chinese investors, which has raised national security concerns among U.S. officials. HeyGen is reportedly trying to distance itself from its Chinese backers.

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AI startup Anthropic has attracted investor interest for a stake worth more than $1 billion, but has ruled out accepting funds from Saudi Arabia due to national security concerns. The stake belongs to failed cryptocurrency exchange FTX and is being sold as part of bankruptcy proceedings. The stake, originally purchased for $500 million, is now worth more than $1 billion due to the AI boom. The proceeds will be used to repay FTX customers. The sale is expected to close in the coming weeks. Anthropic's founders have the right to reject potential investors, but are not involved in the current fundraising process, according to CNBC.

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Apple is in preliminary talks with Baidu about using the Chinese company's generative AI technology in its devices in China. Apple has already been in talks with Google and OpenAI about using their technology for its mobile AI capabilities, but their models are not available in China. The company needs a local provider of generative AI models, as China requires AI models to be vetted by its Cyberspace Administration and comply with policy guidelines. Samsung's latest Galaxy smartphone uses Google Gemini outside China and Baidu Ernie in China for some generative AI capabilities. Apple already stores its data in China in a cloud operated by a government partner to comply with local customer data storage laws.

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A British man used ChatGPT to scam 100 free meals at McDonald's. He collected receipts with unique feedback codes and used ChatGPT to write 1,200-character complaint messages. Within twelve hours, a McDonald's employee offered him two to four meal vouchers. After nine months, however, he was discovered by a restaurant and the scam was exposed. The British man defends his actions as harmless, but the example shows how AI can be misused for fraud. The biggest victim in this story, apart from the restaurant, is probably the British man himself, who put his health at risk for this experiment.

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