Welcome, humans.

OpenAI just dropped $6.5B to acquire Jony Ive's secretive AI hardware startup. This isn't your average acquisition—it's the tech industry's most intriguing power couple going all-in on creating “a new kind of computing form factor.”

Sam & Jony introduce io

Ive, the design genius behind Apple's iconic products, seems downright giddy about this collab. “Everything I've learned over 30 years has led me to this moment,” he said—designer-speak for “I'm about to blow your minds.”

According to Altman, the prototype is “the coolest piece of technology the world will have ever seen.” It’s also reportedly screen-free, unlike previous flops in that category.

The only thing missing? THE ACTUAL PRODUCT. As the top YouTube comments point out, it’s a 9 minute “announcement for an announcement.” But, cool ad I guess?

The drama part of this is kinda fun: acquiring io (Ive’s company) puts OpenAI in direct competition with Apple, Ive's former employer. While Apple plays catch-up in AI, Ive is building what could be the next iPhone... without them.

So this will either be the product that unseats Apple as the top dog of consumer tech, or it’ll be OpenAI’s most spectacular flop yet. Either way, we’re getting our popcorn and fold out chairs ready!

Here’s what you need to know about AI today:

• Ex-Google CEO Eric Schmidt thinks AI is UNDERhyped.
• NVIDIA unveils AI video analysis and summarization tool.
• Dell unveils Nvidia-powered AI servers.
• Google shows off new AR glasses prototype.

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Eric Schmidt thinks AI is underhyped (yeah, we’re not joking)…

Some of you (let’s just say our more spicy commenters) will occasionally leave us feedback that we here at The Neuron over-hype AI and AI related news. But according to Eric Schmidt, the former CEO of GOogle, we're actually underestimating the transformative power of artificial intelligence.

Remember when AlphaGo invented a Go move no human had ever seen? Schmidt says that was just the beginning. He sees AI as a revolutionary force that could reshape everything from business to scientific discovery.

Here’s what he said at a recent TED Talk:

• AI is moving beyond language into strategic planning and complex problem-solving.
• Computational requirements for AI are skyrocketing—potentially increasing by a factor of 100 to 1,000.
• The ultimate goal: AI agents that can run entire business processes, communicating with each other in natural language.

The AI Revolution Is Underhyped | Eric Schmidt | TED

See, Schmidt believes we're on the cusp of incredible breakthroughs:

• Personalized tutors for every child in their native language.
• AI healthcare assistants for underserved regions.
• Potential solutions to complex scientific mysteries like dark energy.
• Reach a projected 30% annual productivity increase that economists can't even model.

In sum Schmidt believes the arrival of AI—from general intelligence to superintelligence—is the most significant development in 500 to 1,000 years of human society. And it's happening right now, in our lifetime. Lucky us!

The stakes are high, though. Schmidt warns of a potential AI “arms race” between the US and China, with both nations investing billions to lead the next technological frontier. Schmidt says the winner could gain unprecedented economic and strategic advantages (he even wrote this paper on his AI concerns; if you’re curious what it says, copy + paste it it into AI Studio and chat with it directly). .

Despite all that, Schmidt remains optimistic. His take? Humans aren't going anywhere. Lawyers, for example, will have more sophisticated lawsuits, and same for other jobs who will grow and scale in sophistication.

And if you’re worried about what this means for job security, Schmidt says the #1 issue AI solves is the lower birth rate of modern societies; we just don’t have enough humans today, and will continue to not have enough humans into the future, to do everything we need to do. AI helps solve that problem.

Quick, somebody tell all our bosses we humans are a hot commodity so they don’t fire us all!!

Last thing—want to know what Schmidt’s #1 piece of advice is? Here it is.

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Around the Horn.

• Dell launched new AI servers with up to 256 Nvidia Blackwell Ultra chips to meet enterprise AI demand.
• Silicon Valley Bank report reveals AI funds drove 40% of startup investments, with rise of "zombiecorns" amid limited tech exits.
• Google demonstrated prototype AR glasses with Gemini AI, featuring single-lens display and multimodal interaction capabilities.
• NVIDIA launched AI Blueprint for VSS, which scans hundreds of video streams, condenses hours into a minute, and cuts costs and defects in manufacturing.
• MIT Technology Review analyzed AI's energy consumption, finding data centers could use enough electricity to power 22% of US households by 2028.
• Evangelical leaders sent an open letter to President Trump warning about the potential dangers of uncontrolled artificial intelligence.

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Thursday Trivia:

One is real, and one is AI. Which is which? (vote below!)

A.

B.

Which is AI?

The answer is below, but place your vote to see how your guess compares to everyone else (no cheating now!)

Here are the results from last week’s poll:

Here’s what you said:

• J.M. chose A: “Trigger finger doesn’t pull when the rifle fires.”
• S.P. chose B: “When the camera zooms out, it's just a pixelated blur surrounding the people, as if someone prompted the AI to expand the background. But honestly I have no idea....”
• C.C. chose A: “Watch his trigger finger, he pulls the trigger with no response from the gun.”

A Cat's Commentary.

Trivia Answer: A is real, and B is AI.