Tech

Following Salesforce CEO Marc Benioff’s suggestion of deploying federal troops to San Francisco, venture capitalist Ron Conway resigned from the Salesforce Foundation board, citing misaligned values. Conway, an early investor in tech giants and a major Democratic party donor, conveyed his decision to Benioff amidst growing controversy over San Francisco’s public safety. Benioff’s comments, amplified by figures like Elon Musk, sparked debate and drew criticism, highlighting the complex relationship between Silicon Valley and the political landscape, and increased sensitivity around San Francisco’s challenges with crime.

U.S. Treasury Secretary Bessent stated that the U.S. is considering industrial policy, including price floors, in response to China’s dominance and unfair pricing in the rare earth minerals market. This aims to protect domestic industries. Meanwhile, Bank of America, Morgan Stanley, JPMorgan Chase and Goldman Sachs reported strong earnings, fueling investor optimism despite U.S.-China trade tensions. The market’s future hinges on upcoming earnings from tech giants like Tesla and Intel.

Former Meta executive Nick Clegg suggests the AI sector may be headed for a market correction due to “unbelievable, crazy valuations” and the rapid pace of investment. He questions whether current valuations accurately reflect the underlying potential, highlighting the need for hyperscalers to realize returns on massive infrastructure investments. While acknowledging AI’s potential, Clegg expresses skepticism about “artificial superintelligence,” advocating for a more measured approach and noting that the adoption of AI may be slower than technologists predict.

Paxos, the infrastructure provider for PayPal’s PYUSD stablecoin, mistakenly minted $300 trillion worth of PYUSD due to a “technical error.” The error, detected and rectified quickly, involved burning the excess tokens. While customer funds remained safe, the incident highlights critical questions about safeguards and operational protocols in stablecoin issuance. The event underscores the role of custodians and the importance of swift error correction in maintaining trust. This comes as stablecoins gain traction, increasing scrutiny of their resilience and regulatory compliance.

Upgrade, a fintech startup led by LendingClub’s founder, secured $165 million in funding, raising its valuation to $7.3 billion. Led by Neuberger Berman, this round marks Upgrade’s first capital raise since 2021, driven by its positive cash flow. Initially a personal loan provider, Upgrade has expanded to include diverse financial services like BNPL (through its Uplift acquisition). With annualized revenue exceeding $1 billion, Upgrade is considering an IPO within 12-18 months to bolster its balance sheet and provide employee liquidity. They are focusing on streamlining customer experience and targeting growth in home improvement and auto financing.

Alibaba is investing $53 billion in AI over three years, aiming to boost e-commerce operations and drive future growth. AI tools are being implemented across the platform, from personalized search to virtual try-ons. Early tests show a 12% increase in advertising returns with AI integration. Alibaba expects AI to significantly impact Singles Day sales, a crucial consumer spending event. Despite muted spending trends, last year’s Singles Day saw substantial growth, highlighting the importance of such events. Alibaba prioritizes AI and consumption investments for long-term success.

Key market takeaways include renewed U.S.-China trade war tensions impacting market volatility, evidenced by intraday swings in the Dow. Despite these concerns, Treasury Secretary Bessent signaled the U.S. will maintain pressure on China. A federal judge blocked planned workforce reductions during the government shutdown. Apple unveiled new MacBook Pro, iPad Pro, and Vision Pro models, while Anthropic launched Claude Haiku 4.5. Finally, established automakers express EV concerns related to demand and profitability, as Tesla prepares to release its quarterly earnings report.

Microsoft is sunsetting Windows 10 to focus on Windows 11 with integrated AI features, aiming to capitalize on the growing AI PC market. Users can access advanced AI functionalities, including an enhanced Copilot assistant automating tasks via natural language. This aligns with advancements in AI “computer-use agents.” Copilot Actions, initially for enterprise users, will democratize AI-driven automation in Windows 11 but are disabled by default with user monitoring. This move aims to attract users from competitor platforms. Microsoft is cautiously rolling out Copilot Actions, prioritizing stability and user satisfaction.

BETA Technologies filed for an IPO, aiming for a $7.2 billion valuation and seeking to raise up to $825 million. The electric aircraft manufacturer’s move comes amid growing investor interest in the eVTOL sector, fueled by government initiatives and partnerships. While BETA’s revenue doubled in the first half of 2025, net losses also widened. A $300 million investment from GE Aerospace signals confidence. BETA differentiates itself with cargo applications. The IPO’s success hinges on navigating regulations, scaling production, and achieving profitability.

Uber is introducing in-app micro-tasks to utilize driver downtime and boost earnings. Drivers can complete small online jobs, such as uploading photos for AI model training, through a pilot program led by Uber’s AI Solutions Group and tested in India. This initiative expands driver income streams and strengthens Uber’s AI data sourcing. Additionally, Uber is expanding its women rider preference setting to more cities and introducing rider rating preferences and a delayed ride guarantee for drivers.