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

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

🔥 xAI faces a lawsuit for running gas turbines without proper operating permits.
🎙️ Google AI mode now supports back-and-forth real-time voice conversations.
📉 Stagflation is on the Federal Reserve’s mind amid economic uncertainty.
🏢 Alibaba Cloud to open second data center in South Korea by June.
☢️ Israeli president denies regime change, wants to remove Iran's nuclear program.

TECHNOLOGY

• xAI faces a lawsuit for running gas turbines without proper operating permits

  • xAI is accused of running 35 gas turbines without required federal and local air permits.

  • The turbines may emit over 2,000 tons of smog-forming NOx annually, worsening Memphis air quality.

  • SELC, on behalf of the NAACP, issued a legal notice under the Clean Air Act.

• Apple plans to launch premium-priced folding iPhones starting next year

  • Apple plans to release a folding iPhone next year according to analyst Ming-Chi Kuo.

  • Samsung Display may supply up to eight million foldable panels for Apple’s new device.

  • Key components like the hinge remain undecided; the phone is expected to have premium pricing.

• Google AI mode now supports back-and-forth real-time voice conversations

  • Google introduces Search Live, enabling free-flowing voice conversations with AI Mode for complex, multi-part queries.

  • Users access Search Live via the Google app’s ‘Live’ icon, receiving AI audio responses and exploring web links.

  • Powered by the Gemini model, Search Live works in the background, supports multitasking, transcripts, and AI Mode history review.

BUSINESS

• Stagflation on the Federal Reserve’s mind amid economic uncertainty

  • The U.S. Fed held rates steady and still projects two cuts in 2025.

  • Inflation is expected to exceed 3% in 2025, according to updated Fed forecasts.

  • Market reactions were muted, while geopolitical tensions raised oil market concerns over Iran.

• Multiplier, founded by ex-Stripe exec, raises 27.5M for AI accounting

  • Multiplier shifted from building SaaS to acquiring service firms and enhancing them with AI tools.

  • Its acquisition of Citrine International Tax doubled profit margins by automating manual accounting work.

  • Backed by $27.5M in funding, Multiplier joins a growing trend of AI-powered service roll-up startups.

• Stellantis' Ram offers an industry-leading pickup truck warranty in its turnaround plan

  • Ram Trucks will offer an industry-leading 10-year or 100,000-mile warranty starting in 2026.

  • The warranty covers key drivetrain components, including engine, transmission, and differentials.

  • This replaces the existing five-year or 60,000-mile warranty common in the full-size pickup segment.

MARKETS

WORLD

• Alibaba Cloud to open second data center in South Korea by June

  • Alibaba will launch a second South Korean data center by the end of June 2025.

  • It’s part of a $52.9 billion investment in AI and cloud infrastructure globally.

  • The expansion meets rising demand from South Korean firms for AI and cloud services.

• Israeli president denies regime change, wants to remove Iran's nuclear program

  • Israel’s President Herzog denies regime change aim, focusing on removing Iran’s nuclear program.

  • He accuses Tehran of cheating and accelerating its nuclear weapons development efforts.

  • Herzog states recent strikes have significantly impacted Iran’s nuclear program progress.

• Australia job losses strengthen case for future interest rate cuts

  • Australia unexpectedly lost 2,500 jobs in May, driven entirely by declines in part-time employment.

  • Unemployment remained steady at 4.1% as the labor force participation rate slightly declined.

  • The data suggests a softening labor market, strengthening the case for potential interest rate cuts.

CONTENT

• Sam Altman joins Andrew Mayne to discuss the future of AI

  • Sam Altman discusses AI’s future, including GPT-5, AGI, and new research workflows on the OpenAI Podcast.

  • Topics covered include AI’s role in parenting, privacy concerns, social media impacts, and advertising.

  • He highlights Project Stargate, the importance of computing power, and potential upcoming AI devices.

• Alexandr Wang on building Scale AI transforming work and competing with China

  • Scale AI began as a simple API but evolved to clean and structure real-world data for AI.

  • It now supports Fortune 500 firms and U.S. military AI systems with critical infrastructure.

  • Meta recently invested $14B, valuing Scale at $29B, underscoring its global AI impact.

• Steven Sinofsky to unpack how Apple faces challenges in China

  • Steven Sinofsky explores how Apple’s design and scale helped build China’s manufacturing dominance.

  • The episode reveals misjudgments about globalization and how Tim Cook reshaped tech through operations.

  • It examines Apple’s China reliance, global supply chain fragility, and emerging tech-policy-AI intersections.

FUTURISM

• What happens when you give AI absolutely nothing to learn from

  • Terence Broad created AI art without training data by looping neural networks into recursive, self-generating systems.

  • His work critiques the ethics of AI trained on others' content and explores pure machine creativity.

  • Despite comparisons to Rothko, Broad’s focus is on uncovering process-driven expression, not reproducing known artistic styles.

• Amazon Zoox opens first major robotaxi production facility in California

  • Zoox opened its first full-scale factory in California, aiming to build 10,000 robotaxis annually.

  • The facility will support engineering, assembly, and testing for upcoming launches in Las Vegas and San Francisco.

  • Zoox plans commercial robotaxi rollouts in Austin and Miami, using both human labor and automation.

• Ancestra reveals many flaws in the current AI-generated video technology

  • Eliza McNitt’s short film Ancestra used generative AI with Google DeepMind to create many shots.

  • The film explores a mother’s hope for her baby’s healing, blending real actors with AI visuals.

  • Ancestra highlights AI’s potential to transform filmmaking but raises concerns about displacing traditional creators.

EXTRAS

• London seeks more Chinese listings as the city faces an ongoing IPO drought

  • London aims to attract more Chinese firms to list amid declining IPO activity in Europe.

  • City of London’s policy chief emphasizes urgent need to boost local stock market listings.

  • Officials worry about losing business to U.S. markets and seek stronger China ties.

• How Donald Trump and Ryan Reynolds easily convince you to buy phone plans

  • Celebrities like Trump and the SmartLess hosts are launching phone brands using the MVNO model.

  • MVNOs resell network access from major carriers, targeting underserved or niche customer segments.

  • Big carriers benefit by monetizing excess capacity, while celebrities leverage their audiences for marketing.

• Thai conservative party quits ruling coalition, dealing blow to prime minister

  • Thailand’s second-largest party, Bhumjaithai, quits PM Paetongtarn’s ruling coalition, deepening the political crisis.

  • The party holds 69 seats, and its eight ministers resigned, including leader Anutin Charnvirakul.

  • The move follows the PM’s blame on the military for border tensions with Cambodia amid calls for resignation.

AND MORE

• RFK Jr.’s new vaccine advisors will vote on flu shots containing mercury.

• New code in Spotify’s app references the long-awaited ‘lossless’ tier.

• Four reasons why it’s a bad time to buy a gaming handheld.

• Save big on payroll with vetted finance pros who manage compliance, Xero, and QuickBooks so you can grow.*

• Midjourney has launched its first AI video generation model, V1.

• Framework Laptop 12 has a quirky design and could be great for students.

• Guidde revolutionizes how you document processes with AI-powered how-to videos.*

• A glitch is turning Threads into a literal echo chamber.