Amazon announced a significant increase in spending on artificial intelligence (AI) projects, while Reddit is eyeing AI-powered search as a major business opportunity, according to reports released Thursday. Meanwhile, Canada unveiled a plan to bolster its auto industry, and a San Francisco startup is developing a solution to help nontechnical creators. These developments highlight the evolving landscape of technology and business.
Amazon revealed it expects to spend $200 billion this year on building out its business, with a significant portion allocated to AI, as reported by BBC Business. This represents a substantial increase from the $125 billion spent last year. However, investors did not appear to welcome the news, as Amazon shares fell by more than 11% in after-hours trading. The company's spending plans are now the most aggressive among Big Tech companies, which collectively expect to spend around $650 billion on AI and related projects.
Reddit also sees AI as a key area for growth. During its fourth-quarter earnings call on Thursday, the company indicated its AI-powered search engine could be its next big opportunity, not just in terms of product but also as a revenue driver. "Theres a type of query were, I think, particularly good at I would argue, the best on the internet which is questions that have no answers, where the answer actually is multiple perspectives from lots of people," said Reddit CEO Steve Huffman, according to TechCrunch. The company is planning to merge traditional and AI search.
In other business news, Canada unveiled a plan to support its electric vehicle transition and reduce reliance on the US auto industry, as reported by BBC Business. The new initiatives include financial incentives for carmakers to invest in Canada and the reintroduction of rebates for EVs. This move comes amid US tariffs imposed on Canadian cars and car parts.
In the realm of robotics, British YouTuber James Bruton built a giant walking robot inspired by Star Wars, according to BBC Technology. Bruton used an intricate system of motors and gears to create servos, which allow for precise control of the robot's movements. "My goal is to have something people would click on," he said.
Finally, Sapiom, a San Francisco startup, is developing a solution to help nontechnical creators connect their applications with external tech services, as reported by TechCrunch. The company aims to eliminate back-end infrastructure headaches for those building custom apps.
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