AI Daily Highlights: August 14, 2025

The AI sector experienced a dynamic day marked by significant capital infusions, a flurry of new product and model releases, and ongoing ethical and geopolitical controversies. Several AI startups secured substantial funding rounds, most notably Cohere’s $500 million raise at a $6.8 billion valuation, signaling continued investor confidence. Major tech players like Google and Microsoft unveiled new AI models and features, while Apple hinted at its own ambitious AI push. However, the rapid advancements were shadowed by user backlash against OpenAI’s GPT-5, revelations about Meta’s problematic chatbot interactions with minors, and the complex geopolitical implications of President Trump’s decision to allow Nvidia chip sales to China in exchange for a revenue share. The day underscored the industry’s rapid growth alongside persistent challenges in governance, ethics, and infrastructure.

Daily Key Events List

• Cohere Secures Major Funding
  Cohere raised $500M, reaching a $6.8B valuation, with AMD, Nvidia, and Salesforce investing, solidifying its position in the enterprise AI LLM market. [1]

• OpenAI’s GPT-5 Faces User Backlash
  OpenAI’s GPT-5 launch sparked significant user backlash due to perceived performance issues and changes, prompting CEO Sam Altman to address concerns. [2]

• Trump Reverses Nvidia Chip Ban for China
  President Trump reversed the H20 chip ban, allowing Nvidia to sell to China for a 15% revenue share, a surprising deal contrasting with prior efforts to curb China’s AI advancements. [3]

• Meta’s Chatbot Policies Under Fire for Minor Interactions
  Meta’s internal AI policies allowed chatbots to engage in romantic language with minors, leading to scrutiny and subsequent revisions after a Reuters report. [4]

• Google Launches Gemma 3 270M AI Model
  Google AI launched Gemma 3 270M, a compact, efficient 270M-parameter model designed for on-device AI and specialized tasks, featuring extreme energy efficiency. [5]

• DeepSeek Switches to Nvidia After Huawei Chip Issues
  DeepSeek’s R2 LLM development was delayed due to unstable Huawei Ascend chips, forcing a switch to Nvidia H20 GPUs for training, highlighting challenges in China’s tech self-reliance. [6]

• Google Invests $9B in Oklahoma AI & Cloud Infrastructure
  Google committed $9B to expand AI and cloud infrastructure in Oklahoma, including a new data center in Stillwater and expansion of its Pryor facility, supporting workforce development. [7]

• Foxconn’s AI Server Revenue Surpasses Smartphones
  Foxconn, Apple’s top supplier, now earns more from AI servers than smartphones, marking a significant strategic shift driven by the AI boom. [8]

• Eli Lilly Signs $1.3B AI Deal with Superluminal Medicines
  Eli Lilly signed a $1.3B deal with Superluminal Medicines to use AI for discovering obesity and cardiometabolic drugs, bolstering its market leadership.

• Guardrails AI Launches Snowglobe for AI Agent Testing
  Guardrails AI launched Snowglobe, a simulation engine for AI agents and chatbots, automating large-scale testing to prevent real-world failures and enhance reliability. [9]

• Gartner Predicts 25% of Job Profiles Fake by 2028 Due to AI
  Gartner predicts that 25% of job applicant profiles will be fake by 2028, fueled by AI tools like deepfakes, prompting companies to return to in-person interviews for verification. [10]

• xAI Co-Founder Igor Babuschkin Departs to Launch AI VC Firm
  Igor Babuschkin, xAI co-founder, departed to launch Babuschkin Ventures, an AI-focused venture capital firm, shifting focus to AI safety research. [11]

• Anthropic Launches Socratic Learning Modes for Claude AI
  Anthropic’s Claude AI launched new ‘learning modes’ for students and developers, emphasizing guided discovery and intensifying competition in the AI education market. [12]

• US AI Power Threatened by Transformer Shortage
  US AI power demand is threatened by a severe transformer shortage, with supply deficits up to 30% expected until the 2030s, according to Wood Mackenzie. [13]

Funding, M&A, and IPO Events

Funding Events:

• Softwear Automation – Developer of autonomous sewing technology – Secured $20M in Series B1 funding led by Bestseller to accelerate the rollout of its Sewbot autonomous sewing technology. [14]

• Cohere – Enterprise AI LLM firm – Raised $500M, reaching a $6.8B valuation, with investments from AMD, Nvidia, and Salesforce. [1]

• Loveable – AI startup – Projects $1B ARR within 12 months and reached a $1.8B valuation after a $200M Series A. [15]

• Nephrolytics – AI-driven clinical intelligence platform for kidney care – Secured $2.5M in SAFE funding and plans a September bridge round, leading healthcare AI innovation. [16]

• Perle – Web3-powered platform for AI data training – Closed a $9M seed round led by Framework Ventures, bringing total funding to $17.5M. [17]

• Trust AI – AI platform revolutionizing dentistry – Emerged from stealth with $6M seed funding to launch Isaac, its AI platform. [18]

• Casap – Company using AI and intelligent automation to combat fraud – Raised $25M Series A led by Emergence Capital, bringing total funding to $33.5M. [19]

• NetBox Labs – Provider of network infrastructure automation solutions – Secured $35M Series B funding, led by NGP Capital, leveraging the AI-driven infrastructure boom. [20]

• Abridge – Healthcare AI startup – Plans acquisitions after raising $700M, valuing the company at $5.3B, to expand its health AI capabilities. [21]

M&A Events:

• Infosys – Global IT consulting and services company – Acquired 75% of Telstra’s Versent Group for a joint venture to boost AI-driven cloud solutions and digital transformation services in Australia. [22]

• Landbase – AI-native marketing platform – Acquired Adauris to accelerate AI-native inbound marketing, unifying outbound and inbound automation. [23]

• Anthropic – AI research and development company – Acqui-hired HumanLoop’s CEO and team to boost enterprise AI offerings, focusing on LLM evaluation, safety, and reliability. [24]

IPO Events:

• None identified.