Two charts that show why Amazon is building a giant physical store

This week Amazon received approval to build a hybrid big-box store and fulfillment center outside Chicago that’s roughly twice the size of a typical Target. Why would the e-commerce giant want to wade into a costly and cumbersome physical store, especially after earlier brick-and-mortar iterations like Amazon Go have failed?

There are at least two reasons. First, despite e-commerce’s rapid growth, the vast majority of retail purchases still happen in physical stores, according to Census Bureau data:

Second, Amazon’s own customers regularly shop at competing big-box retailers: Consumer Intelligence Research Partners found that 93% have also shopped at Walmart. And as Amazon pushes further into groceries — a category still dominated by in-person shopping — CIRP estimates that basically all Amazon customers buy groceries elsewhere.

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Rani Molla1h

Meta says it’s delivered new AI models internally this month and they’re “very good”

Meta’s last AI model release, Llama 4, was marred by delays and accusations of rigged benchmarks, but the company says the latest models built by its Superintelligence Labs team look promising. CTO Andrew Bosworth told reporters at the World Economic Forum that the team delivered new models internally in January and they’re “very good.”

Bosworth didn’t specify what the models are, though The Wall Street Journal has reported that Meta is working on a large language model and an AI image and video model code-named Avocado and Mango, respectively.

Exclusive: Meta's new AI team delivered first key models internally this month, CTO says

Jon Keegan

See for yourself just how massive Meta’s Hyperion data center is

It’s hard to overstate just how massive Meta’s Richland Parish, Louisiana, data center site is. Use this tool to compare it to where you live.

Jon Keegan17h

OpenAI rolls out age prediction system ahead of allowing adult content

OpenAI is rolling out a new “age prediction” feature for ChatGPT users. The company will look at various signals from users to predict if a user is underage.

In a blog post, the company said:

“The model looks at a combination of behavioral and account-level signals, including how long an account has existed, typical times of day when someone is active, usage patterns over time, and a user’s stated age.”

If the system suspects the user is a minor, it will reduce content with graphic violence, harmful viral challenges, sexual or romantic role-play, depictions of self-harm, and material promoting “extreme beauty standards, unhealthy dieting, or body shaming.”

If a user is incorrectly flagged as under 18, they will have to submit a selfie to an identity verification service to have the restrictions removed.

An age verification system is part of OpenAI’s plan to reduce harmful mental health encounters with the chatbot, while also allowing ChatGPT to generate “erotica” in the near future.

Our approach to age prediction

“The model looks at a combination of behavioral and account-level signals, including how long an account has existed, typical times of day when someone is active, usage patterns over time, and a user’s stated age.”

If a user is incorrectly flagged as under 18, they will have to submit a selfie to an identity verification service to have the restrictions removed.

An age verification system is part of OpenAI’s plan to reduce harmful mental health encounters with the chatbot, while also allowing ChatGPT to generate “erotica” in the near future.

Rani Molla22h

Google’s YouTube maintains its top spot as streaming accounts for nearly half of all TV-watching time

People spent a record 47.5% of their TV-watching time on streaming platforms in December, according to new data from Nielsen, up from the previous record of 47.3% in July. Google’s YouTube once again was the most popular streaming service by time spent, but Netflix’s share inched slightly upward to 9% from 8.8% in July, while YouTube’s fell to 12.7% from 13.4%. The jump was largely thanks to “Stranger Things,” which was the most watched streaming title last month.

Rani Molla23h

Amazon CEO says tariffs are inflating prices and buyers are looking for bargains

While the legality of President Trump’s tariffs winds its way through the courts, their effects are beginning to show up in prices.

During an interview at the World Economic Forum in Davos, Switzerland, Amazon CEO Andy Jassy said he is starting to see tariffs “creep into” pricing, as some sellers are “passing on those higher costs to consumers in the form of higher prices.”

Jassy said that while consumers are still spending, they are becoming more price conscious.

“I think that wherever they can, they are trying to trade down in price — they are looking for bargains wherever they can find bargains,” he said. “I see people a little more hesitant on higher-priced discretionary items.”

Trump has maintained that other countries are footing the bill for his tariffs. But new research suggests Americans will ultimately be the ones paying those higher prices.

Amazon CEO Jassy says Trump's tariffs have started to 'creep' into prices

Jassy said that while consumers are still spending, they are becoming more price conscious.

Trump has maintained that other countries are footing the bill for his tariffs. But new research suggests Americans will ultimately be the ones paying those higher prices.

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