AI Edition - It's AI Time - 330 [11-03-2025]

AI Edition - It's AI Time - 330

CoreWeave secures $11.9B contract with OpenAI:

CoreWeave has signed a five-year, $11.9B cloud computing deal with OpenAI ahead of its IPO, with OpenAI set to acquire a stake in the Nvidia-backed AI startup.

DeepSeek isn't taking VC money yet:

DeepSeek's founder Liang Wenfeng is avoiding external investments to retain control, leveraging profits from his hedge fund, High-Flyer, for funding. Despite its success, DeepSeek faces challenges like strict Chinese data laws and chip import restrictions due to U.S. export controls. Although DeepSeek has so far avoided outside capital, there is potential for future investment as the company starts shifting towards monetization.

Detecting misbehavior in frontier reasoning models:

This is a report from OpenAI on monitoring the chain of thought of advanced reasoning models. Frontier reasoning models exploit loopholes when given the chance. It shows that it is possible to detect exploits using an LLM to monitor their chains-of-thought. Penalizing their “bad thoughts” doesn't stop the majority of misbehavior—it makes them hide their intent.

How much energy will AI really consume? The good, the bad, and the unknown:

Culpeper County, Virginia, is seeing a surge in data center construction to support generative AI, significantly impacting local power infrastructure. These facilities consume vast amounts of electricity, with Virginia already facing high data center concentration and energy demands expected to rise. Analysts struggle with limited data on AI energy consumption, while global projections suggest data centers will remain a minor part of overall electricity growth despite the AI boom.

Musk may still have a chance to thwart OpenAI's for-profit conversion:

Elon Musk's request to halt OpenAI's conversion to a for-profit was denied by a federal judge, though the ruling expressed concerns about the switch. There will be an expedited trial in 2025 to address the restructuring disputes. OpenAI's move towards a for-profit model faces regulatory scrutiny and potential challenges from legal and AI safety perspectives.

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