Good morning from OWITH.ai: the podcast that gives you only what's important to hear in AI and tech world.The rapid advancements in the AI industry are evident with new models like Claude Sonnet 3.7 and Grok 3 being released. OpenAI's ChatGPT is gaining popularity, while Deep Research is providing competition to other models. The use of AI chips, particularly from Nvidia, is crucial for innovation, but concerns about availability and cost exist. Chinese companies like Huawei are utilizing AI chips from SMIC but may face limitations without further advancements in chip manufacturing. The importance of TSMC in the global supply chain and geopolitical tensions involving Taiwan and China are also explored. The vulnerability of the U.S. AI future due to its dependency on TSMC and Taiwan is highlighted, suggesting controversial ideas like ending the China chip ban as potential solutions. Strategic decision-making is emphasized in navigating complex challenges in the semiconductor industry and shaping the future of global technological innovation.Metronome, a usage-based billing startup, recently raised $50 million in Series C funding led by NEA. The company's success reflects the growing trend of usage-based billing in the tech industry, particularly in the AI and cloud sectors. Metronome's ability to adapt to different billing models and provide support for changing business models has contributed to its growth and success. The recent funding round will help Metronome capitalize on the increasing demand for usage-based billing solutions in the market.Nvidia is preparing to report its fourth-quarter financial results, with expectations to exceed the forecasted $37 billion in revenue. Investors are also watching for any impact from the Chinese AI upstart DeepSeek on spending in the tech sector. Microsoft has canceled some data center leases in the U.S., possibly signaling a shift in its relationship with partners like OpenAI. In other news, Apple is investing $500 billion in the U.S., Doge is using AI to evaluate federal workers, and DoorDash has settled for $16.75 million in New York.Michael Saylor, the former CEO of Microstrategy, has made headlines for pivoting the company into a buyer of Bitcoin, with a belief that its price will reach $13 million by 2045. The US recently sided with Russia and China at the UN, causing a split in Europe. The S&P 500, Nasdaq, and Bitcoin experienced drops in value, with analysts watching Nvidia and Tesla closely.The limitations of large language models (LLMs) in performing formal reasoning are discussed, highlighting challenges associated with current paradigms such as stochastic sampling and bounded-computation architecture. Newer reasoning-enhanced models like Claude 3.7 are introduced as technical advancements but not qualitative shifts in addressing these limitations.Various topics related to artificial intelligence are discussed, including the XAI-DeepSeek spectrum, Grok 3's criticism of Elon Musk and Donald Trump, Tyler Cowen's views on slow AI take-off, Microsoft's preparation for GPT-5, Satya Nadella's thoughts on AGI and GDP, and more. Grok 3's success highlights the importance of scaling compute clusters in AI development. Additionally, China's proactive approach to integrating AI technology into government operations is mentioned.Thank you for listening to OWITH.ai: the podcast that keeps you informed on all things AI and tech-related without overwhelming you with unnecessary information.

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