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Jon Keegan

Google’s AI wishlist for the US

Yesterday OpenAI shared its policy wishlist for the White House’s “Artificial Intelligence Action Plan.” Today we get a look at the AI goodies that Google wants.

Facing an extremely AI-friendly administration, Google’s asks of the US government lined up with OpenAI’s in most ways. The company wants:

  • Export controls that let it sell AI to friendly countries, but protect its tech

  • Copyright reform that lets AI models train on copyrighted works and lets the company “avoid often highly unpredictable, imbalanced, and lengthy negotiations with data holders”

  • Wider use of AI in government (juicy federal contracts for Google)

  • Government investment in infrastructure to power all of its data centers

But there was another item that stood out in Google’s proposals. Google is asking for an investment of federal dollars for AI and scientific research — just as the Trump administration and Elon Musk are slashing federal outlays for such research.

Google’s letter reads:

“The government should also continue investments to identify and prioritize the most important unsolved challenges in the physical and life sciences (e.g., via federal prize challenges and competitions), focusing on how AI-driven approaches can help fuel scientific breakthroughs in areas of critical national interest.”

  • Export controls that let it sell AI to friendly countries, but protect its tech

  • Copyright reform that lets AI models train on copyrighted works and lets the company “avoid often highly unpredictable, imbalanced, and lengthy negotiations with data holders”

  • Wider use of AI in government (juicy federal contracts for Google)

  • Government investment in infrastructure to power all of its data centers

But there was another item that stood out in Google’s proposals. Google is asking for an investment of federal dollars for AI and scientific research — just as the Trump administration and Elon Musk are slashing federal outlays for such research.

Google’s letter reads:

“The government should also continue investments to identify and prioritize the most important unsolved challenges in the physical and life sciences (e.g., via federal prize challenges and competitions), focusing on how AI-driven approaches can help fuel scientific breakthroughs in areas of critical national interest.”

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Driverless Waymo struck a child near school in California

A Google Waymo struck a child near a Santa Monica elementary school during morning drop-off last week, as self-driving cars by Waymo, Tesla, and others continue their expansion across the country. In a blog post, Waymo said the fully driverless car detected the child as they emerged from behind a parked SUV, braked sharply, and reduced speed from approximately 17 mph to under 6 mph before striking the child. The child suffered minor injuries and walked away.

The company reported the incident to the National Highway Traffic Safety Administration, which is currently investigating, adding fresh scrutiny to how robotaxis perform in the wild.

The company reported the incident to the National Highway Traffic Safety Administration, which is currently investigating, adding fresh scrutiny to how robotaxis perform in the wild.

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Digging into Microsoft’s cloud backlog

Microsoft’s Azure cloud computing unit is seeing huge demand. In yesterday’s second-quarter earnings call, Microsoft CFO Amy Hood said the company’s commercial bookings increased 230% thanks to large commitments from OpenAI and Anthropic and healthy demand for its Azure cloud computing platform.

Hood said that the company’s “remaining performance obligations” (RPO) ballooned to a staggering $625 billion, up 110% from the same period last year. How long will it take for Microsoft to fulfill these booked services? Hood said the weighted average duration was “approximately two and a half years,” but a quarter of that will be recognized in revenue in the next 12 months.

Shares of Microsoft tanked today, down over 11%, despite the strong beat on revenue and earnings. Investors may be concerned that while huge, that extra demand was coming only from OpenAI, an issue that Oracle recently experienced.

But Hood said the non-OpenAI RPO still grew 28% year on year, which reflects “ongoing broad customer demand across the portfolio.”

US-ART-BASEL

Meta and Tesla are funding the future with their core businesses — but only one of them is still growing

The two tech giants, on back-to-back earnings calls, made it sound like they’re selling the same AI-powered future. But the picture of the underlying businesses, and how they’re using AI to furnish current sales, couldn’t be more different.

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