AI developments are making headlines with major shifts in company strategies and product launches. OpenAI disbanded its mission alignment team, xAI saw co-founders depart after a merger, and Uber Eats introduced an AI-powered grocery shopping assistant. Meanwhile, AI inference startup Modal Labs is reportedly in talks to raise a new funding round at a significantly increased valuation.
OpenAI's decision to disband its mission alignment team, which was dedicated to communicating the company's mission to the public and employees, was confirmed by the company to TechCrunch. The team's former leader has been appointed as the company's chief futurist. The team, formed in September 2024, aimed to promote the company's goal of ensuring artificial general intelligence benefits all of humanity. An OpenAI spokesperson described the team as a "support function to help employees and the public understand our mission and the impact of AI."
In other AI news, xAI, following its merger with SpaceX and social media platform X, has seen the departure of two co-founders, according to The Verge. The merger, valued at a reported $1.25 trillion, is the largest of all time. xAI's future is planned to involve four divisions: Grok, Coding, Imagine, and Macrohard.
Uber Eats is also entering the AI arena with the launch of Cart Assistant, a new AI feature designed to streamline grocery shopping. The beta version, available in the app, allows users to create grocery lists by entering text or uploading images, automatically adding items to their cart. Users can then customize their baskets, swapping items and adding more products.
In the funding landscape, AI inference infrastructure startup Modal Labs is reportedly in discussions with venture capitalists to raise a new round at a $2.5 billion valuation, according to four sources with knowledge of the deal, as reported by TechCrunch. If the deal closes at these terms, it would more than double the company's valuation from $1.1 billion announced less than five months ago. General Catalyst is reportedly in talks to lead the round. Modal's annualized revenue run rate (ARR) is approximately $50 million, according to sources. However, Modal Labs co-founder and CEO Erik Bernhardsson denied that his company was actively fundraising and characterized his recent interactions with VCs as general conversations.
The evolving landscape of enterprise AI is also highlighted by Glean, which has transitioned from an enterprise search product to an AI work assistant. Glean aims to connect to internal systems, manage permissions, and deliver intelligence wherever employees work. The startup raised $150 million last year at a $7.2 billion valuation, reflecting investor confidence in the growing competition against tech giants bundling AI.
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