Welcome back to your daily memorandum talking tech, business, AI, markets, and more. 🗞️

In today’s edition, we are tackling the following:

💻 Adobe adds prompt-based video editing and third-party AI models for creators
📱 Smartphone shipments cut for 2026 as memory shortages push prices higher
⚡ Senators probe data center power use as electricity bills climb nationwide
🧠 Meta debuts SAM Audio, separating sounds from recordings in real time
💸 CoreWeave’s valuation plunge revives AI infrastructure debt fears

TECHNOLOGY

• Mozilla names Anthony Enzor-DeMeo as CEO to lead AI push (Mozilla Blog) 

  ^{_{More: Bloomberg, Fast Company, The Register}}

  • Firefox’s general manager was promoted to CEO after driving mobile growth, achieving a 13% year-over-year increase in mobile revenue.

  • The browser will evolve into a modern AI platform that offers multiple models, with user choice and control.

  • The company aims to become the most trusted software provider amid growing concerns about technology transparency and privacy.

• Adobe Firefly now supports prompt-based video editing, adds more third-party models (TechCrunch) 

  _{^{More: SiliconANGLE}}

  • New video editor enables text-based editing of elements, colors, and camera angles via prompts.

  • Integration includes Runway Aleph, Black Forest Labs, FLUX, and Topaz Astra for upscaling capability.

  • Subscribers receive unlimited generations from image models and Adobe Firefly Video Model until January 15.

• Meta transforms audio editing with prompt-based sound separation (SiliconANGLE)

  • SAM Audio model isolates individual sounds from complex recordings using text, visual, or span prompts.

  • The platform operates in real time, with a processing speed of approximately 0.7 seconds.

  • Partnership with Starkey Laboratories explores applications to enhance hearing aid capabilities for users with impaired hearing.

BUSINESS

• CoreWeave stock slide sparks AI bubble fears as debt mounts (Wall Street Journal) 

  _{^{More: Fortune, CNBC, Bloomberg}}

  • The company lost $33 billion in market value over six weeks amid infrastructure concerns.

  • Debt-to-equity ratio reaches 120% compared to 7% to 23% for peers.

  • Texas data center construction delays and mixed CEO messaging accelerated investor sentiment shift toward caution.

• 2026 smartphone shipment forecasts revised down as memory shortage drives costs up (Counterpoint Research) 

  ^{_{More: Bloomberg, CNBC}}

  • Global smartphone shipments are expected to decline by 2% in 2026 due to memory costs.

  • Low-end smartphone production costs surged 25%, while mid-range expenses rose 15% due to DRAM shortages.

  • Average selling prices are projected to rise 6.9% as manufacturers pass costs to consumers.

• Databricks raises $4B at $134B valuation in Series L round (Wall Street Journal) 

  ^{_{More: TechCrunch, Bloomberg, CNBC}}

  • Data intelligence company achieves a 34% increase in valuation from 100 billion three months earlier.

  • Revenue run rate exceeds $4.8 billion, up 55%, with positive free cash flow.

  • AI products generate over $1 billion annually, as the company invests in agent development platforms.

MARKETS

WORLD

• Trump signals UK trade deal maintains 10% baseline tariff (New York Times) 

  ^{_{More: NPR, CNBC, White House}}

  • The agreement reduces steel and aluminum tariffs to zero but maintains a 10% baseline on most goods.

  • The UK can export 100,000 vehicles annually at a 10% rate, with aerospace parts entering duty-free.

  • The deal signals a minimum 10% tariff for all trading partners, with higher rates for deficit nations.

• Senate Democrats investigate AI data centers’ role in rising electricity costs (New York Times) 

  ^{_{More: CNBC, FedScoop}}

  • Senators are demanding information from tech companies on data center energy consumption and the impact on consumer bills.

  • National power consumption from data centers is projected to increase from 5% to 12% within three years.

  • More than 210 utilities serving 65 million consumers proposed $71 billion in rate increases.

• Brazil bank won’t declare a win over inflation despite slowdown (Bloomberg)

  • The central bank maintains a 15% Selic rate for the fourth consecutive meeting, despite inflation moderating toward the target.

  • Inflation expectations remain above target through twenty twenty-eight, requiring significantly contractionary policy for a prolonged period.

  • Domestic economic activity shows a moderate growth trajectory, with the labor market displaying early signs of slowdown.

FUTURISM

• Fox News Is Using Christmas Trees to Hide AI Data Centers (Futurism)

  • Fox News reportedly disguised an AI data center infrastructure using decorative Christmas tree installations.

  • The tactic highlights growing public resistance to energy-intensive data centers in residential communities.

  • AI infrastructure expansion increasingly collides with transparency, zoning rules, and environmental concerns.

• Public Opposition to AI Surveillance Cameras Is Growing Worldwide (Futurism)

  • Cities face mounting backlash over AI surveillance deployments, citing privacy and civil liberties risks.

  • Activists warn that facial recognition systems disproportionately impact marginalized communities.

  • Governments struggle to balance public safety goals with demands for oversight and accountability.

• Mattel Scraps Plans for OpenAI-Powered Toy After Safety Concerns (Futurism)

  • Mattel halted development of an AI-enabled toy amid concerns around child safety and data privacy.

  • The decision reflects broader unease about deploying generative AI products aimed at children.

  • Regulators are increasingly scrutinizing the use of AI in consumer products targeting minors.

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CONTENT

• Man Versus Machine (Invest Like the Best)

  • Henry Ellenbogen explains Durable Capital’s investing philosophy, built on understanding people, change, and long-term compounding advantages.

  • He compares AI’s impact on white-collar work to China’s transformation of global manufacturing economics.

  • Public markets serve as feedback loops, helping growth companies refine strategy, execution discipline, and leadership decisions.

• Uncapped #37: Saam Motamedi (Uncapped Podcast)

  • Saam Motamedi outlines Greylock’s approach to backing early-stage enterprise, AI, and infrastructure founders.

  • He breaks down how venture incubations work and why Greylock actively builds companies internally.

  • The episode explores modern sources of alpha as venture strategies adapt to AI-driven market shifts.

• What We Learned Deploying AI within Bloomberg’s Engineering Organization (Bloomberg)

  • Lei Zhang shares lessons from integrating AI systems into Bloomberg’s large-scale engineering workflows.

  • The talk highlights organizational challenges around adoption, tooling, and aligning engineers with AI capabilities.

  • Bloomberg’s experience shows how disciplined deployment unlocks productivity without sacrificing reliability or governance.
    

EXTRAS

• Sequence’s $20 Million Revenue Ops Platform Gaining Traction (Axios)

  • Fintech Sequence reportedly expanded its revenue operations platform, raising interest from investors and clients.

  • The startup’s focus on automating quote-to-cash workflows aligns with growing corporate demand for streamlined RevOps.

  • Industry watchers note early adoption signals robust upside for B2B financial process automation.

• AI Industry Voices Growing Fears Over Tech Giants’ AI Spending (Futurism)

  • Analysts warned that overspending on AI infrastructure by major tech firms could dampen investor sentiment.

  • Oracle’s recent earnings miss reignited concerns that rising AI capex will outweigh near-term revenue.

  • Investors may re-evaluate valuations as AI transitions from hype to disciplined capital allocation.

• U.S. Military Carries Out Deadly Attacks on Three Boats in Pacific (The Guardian)

  • U.S. Southern Command conducted strikes on three suspected trafficking vessels in the Eastern Pacific, killing eight.

  • The operations, part of a broader narcotics-interdiction push, took place in international waters.

  • Legal experts questioned the use of military force against non-state actors amid aggressive drug policy shifts.

AND MORE

• Interpol-led Operation Thunder 2025 seized nearly 30,000 trafficked animals worldwide.

• Belarus freed 123 political prisoners, including Nobel laureate Ales Bialiatski.

• The former Peruvian foreign minister was arrested in Rio de Janeiro by Brazilian police.

• U.S. and Cambodian and Thai leaders agree to renew the ceasefire after deadly border clashes.

• Nearly 30,000 animals rescued highlights scale of global illegal wildlife trade.

• Belarusian president hosted U.S. envoy in Minsk amid efforts to improve Western ties.

• FirstFT reports that Western brands are increasingly seeking private equity partners in China.

• Explore all the tools and more here to outperform the competition.*

• AP report: U.N. chief demands Houthi rebels release all detaineU.N.UN personnel.