Tech Giants Make Moves in AI, Streaming, and Gaming
The tech world saw significant developments this week, with Apple acquiring an AI startup, Spotify expanding its messaging capabilities, and a survey revealing developer sentiment towards generative AI in gaming. Meanwhile, reports surfaced about a potential merger between Elon Musk's SpaceX and xAI.
Apple acquired Q.ai, an Israeli startup specializing in imaging and machine learning, particularly technologies that enable devices to interpret whispered speech and enhance audio in noisy environments, according to TechCrunch. The Financial Times reported the deal was worth $2 billion, making it Apple's second-largest acquisition ever, behind its $3 billion purchase of Beats in 2014, according to The Verge. Apple has been adding new AI features to its AirPods, including a live translation capability introduced last year. The company has also developed technology that detects subtle facial muscle activity, which could help enhance the Vision Pro headset.
Spotify is expanding its in-app messaging feature with group chats, allowing users to add up to 10 friends and family members to a discussion about their favorite songs, podcasts, or audiobooks, The Verge reported. The music streaming platform launched direct messaging last August, enabling users to share what they are listening to with friends.
A new survey from the Game Developers Conference revealed that 52 percent of developers believe generative AI is bad for the gaming industry, according to The Verge. While generative AI is being adopted at various levels of game development, the survey suggests a growing concern among developers about the technology's impact.
In other news, SpaceX and xAI, both companies led by Elon Musk, could merge ahead of a planned SpaceX IPO this year, according to a report from Reuters cited by TechCrunch. This merger would potentially bring together products like the Grok chatbot, X platform, Starlink satellites, and SpaceX rockets under one corporation. Recent filings show that two new corporate entities were established in Nevada on January 21, named K2 Merger Sub Inc. and K2 Merger Sub 2 LLC. Combining the two companies could allow xAI to put its data centers in space, something Musk has previously expressed interest in. Last year, SpaceX agreed to invest $2 billion in xAI, according to The Wall Street Journal. Company representatives have not discussed this possibility in public.
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