5 min read

🛎️ Scale Got Scaled

Label War, Google Billed Again, $30B Burn

Good Morning, AI Enthusiasts!

Another day in paradise, where “responsible AI” now means lawsuits in the headlines, gigawatts on the meter, and startup beef in your feed.



LLM

Surge AI Offers Scale AI a $15B Punch in the Face

What’s happening: Bootstrapped data-labeler Surge AI is hunting a $1 B raise at a >$15 B valuation. It already out-earned Scale last year ($1 B vs $870 M) and is inhaling customers fleeing Scale after Meta’s 49 % grab.

🧠 How this hits reality: LLM builders now get a non-Meta supplier with capacity—and leverage to squeeze pricing. Scale faces steady revenue bleed, while Surge sells premium “artisan labels” for fat margins until RLHF automation erodes the moat. Procurement teams can smell the coming discount war.

🛎️ Key takeaway: When your rival can self-fund yet still passes the hat, it’s not desperation—it’s bankroll to buy your customers before you even notice the exit signs.


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COPYRIGHT

Google’s $314 M Data Bill: Pocket Change, Precedent Pricier

📌 What’s happening: A San Jose jury says Google siphoned cellular data from 14 million idle Android phones and slapped it with a $314.6 million tab. Google calls the verdict a “misunderstanding” and vows to appeal.

🧠 How this hits reality: Copy-and-paste lawsuits for the other 49 states queue up for April 2026; plaintiffs’ firms already sharpening pitch decks. Product teams scramble for explicit opt-outs and carrier audits, while CFOs pad the “legal contingencies” row. Privacy-first rivals just found fresh billboard copy; Google’s ad margin gets another paper cut.

🛎️ Key takeaway: If your “free” service quietly burns users’ data plans, expect the class-action meter to turn megabytes into nine-figure invoices.


CLOUD

OpenAI Drops $30B on Oracle, Lights Up 4.5 GW

📌 What’s happening: OpenAI just signed what might be the fattest cloud check ever—$30 billion a year for 4.5 GW of Oracle data-center muscle through their Stargate JV. Multiple U.S. sites (Texas, Michigan, Wisconsin, more) are penciled in; Oracle brings concrete, OpenAI brings insatiable GPU appetite.

🧠 How this hits reality: Oracle jumps from legacy also-ran to rent-a-hyperscaler overnight. Microsoft’s “exclusive” partner now openly poly-clouds, denting Azure’s lock-in leverage. Utilities and ESG teams inherit a multi-reactor power draw, while every AI startup realizes “scale” just got priced at nuclear-plant money.

🛎️ Key takeaway: When model training consumes electricity at industrial scale, the only guaranteed winners are the landlords selling power by the gigawatt.


QUICK HITS

  • Microsoft to cut 9,000 jobs globally, pushing 2025 layoffs past 15,000 amid AI pivot.
  • OpenAI confirmed behind $30 B-per-year Oracle cloud deal, planning 4.5 GW of capacity under Stargate JV.
  • OpenAI clarifies Robinhood’s ‘OpenAI tokens’ don’t represent equity and were never approved.
  • Lovable eyes $150M growth round at $2B valuation with new AI coding agent.
  • Former OpenAI CTO’s Thinking Machines Lab offers up to $500K salaries to lure top AI talent
  • Higgsfield makes its viral Soul AI image generator free for everyone with daily credits.

TRENDING

Daily AI Launches

  • Portia AI has launched plug-and-play AI agent deployment with integrated tools and full human oversight.
  • Lazy 2.0 has launched a contextual note chatbot that captures thoughts anywhere and lets you query them via shortcut.
  • String.com has launched a prompt-to-code agent generator, turning one prompt into a working AI agent.
  • Olive has launched a data-connected dashboard builder that creates and hosts private tools in minutes.
  • 🗣️ Deepgram Voice Agent API creates real-time, enterprise-ready voice AI agents.
  • 🎯 atypica.AI automates market research in 10 minutes, simulating consumers to reveal key insights.
  • 🪶 CopyOwl is the First AI Research Agent, deep research on any topic in one click.
  • 📚 Heardly is the Fast Way to read Best Book.

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