Generative AI

U.S. stocks rose Thursday, boosted by Taiwan Semiconductor Manufacturing’s (TSMC) optimistic revenue forecast, offsetting concerns about escalating U.S.-China trade tensions. TSMC’s strong earnings, driven by demand for AI-related high-performance computing, benefited Nvidia and Broadcom. Starbucks also gained on positive China valuation revisions, while Salesforce surged following a bullish analyst presentation highlighting AI integration and CRM market share growth.

According to a 2025 ISG Provider Lens® report, Australian enterprises are reshaping digital workplaces by integrating generative AI, hybrid work, and ESG initiatives. This shift emphasizes AI-driven automation, employee experience analytics, and sustainability. Hybrid work models are maturing, with over 80% of enterprises embracing them. Experience management is key, with a move towards experience-level agreements. The report assesses 37 providers across six quadrants, identifying leaders like Capgemini and HCLTech.

Salesforce CEO Marc Benioff highlighted the company’s focus on generative AI at the World Economic Forum in Davos, 2025. Salesforce is strengthening its generative AI strategy by partnering with prominent AI developers. This move aims to alleviate investor anxieties regarding increasing competition in the AI sector and the significant impact of artificial intelligence on business.

Salesforce is aggressively pursuing generative AI partnerships with companies like OpenAI and Anthropic to integrate AI models into its Agentforce 360 software. This aims to address investor concerns about AI competition impacting Salesforce’s core business. The integration enhances customer service capabilities by automating interactions and providing real-time insights. Despite these efforts, Salesforce shares have underperformed. Other companies like Atlassian and Microsoft are also forging similar AI partnerships. Salesforce plans to facilitate transactions within ChatGPT and focus Anthropic collaboration on regulated industries.

Broadcom CEO Hock Tan anticipates AI to significantly impact global GDP, potentially increasing “knowledge-based” industries’ share from 30% to 40%. Broadcom is strategically partnering with companies like OpenAI to develop AI accelerators and collaborating with multiple cloud providers, securing substantial chip orders, including $10 billion from one client. The company’s focus is on AI infrastructure and revenue-generating partnerships, reflecting confidence in the essential role of specialized hardware in AI’s growth.

The Motion Picture Association (MPA) is urging OpenAI to take immediate action against copyright infringement on its new video creation model, Sora 2. The MPA claims AI-generated clips featuring characters and scenarios resembling copyrighted works are proliferating rapidly. While OpenAI CEO Sam Altman suggested a shift towards an opt-in system for rightsholders, the MPA remains unconvinced. This dispute highlights the challenge of balancing AI innovation with intellectual property protection, mirroring recent lawsuits against other AI companies for similar copyright violations. The outcome could set a precedent for managing copyright in the AI age.

Deloitte is partnering with Anthropic to deploy Claude AI assistant to its 470,000 employees globally, Anthropic’s largest enterprise deployment to date. Deloitte aims to enhance productivity and client solutions using tailored Claude “personas” for various roles and a dedicated Center of Excellence. This investment allows Deloitte to advise clients better, demonstrating AI’s potential and fostering internal innovation. The partnership underscores Anthropic’s global expansion and growing demand for AI solutions, following its recent model unveiling and significant funding round.

While the US dominates AI funding, Europe sees potential in practical AI applications. European startups face challenges including conservative investors and market fragmentation but have advantages in talent acquisition. Companies like Mistral, Synthesia, and ElevenLabs (an AI voice generation startup) are building specialized AI solutions, some developing their own LLMs. The key to success lies in rapid iteration, securing capital, and fostering a more ambitious mindset among European entrepreneurs. Building independent AI infrastructure is also crucial.

Microsoft is streamlining its AI subscription strategy with Microsoft 365 Premium, a $19.99/month bundle combining Copilot Pro with Microsoft 365 Family. This integrates AI into Word, Excel, and PowerPoint, offering higher usage limits than the free Copilot and delivering on document summarization, data analysis, and presentation creation. This is intended to provide greater value and utility to consumers. Microsoft’s move reflects a shift towards integrated AI solutions in the evolving AI market, leveraging its partnership with OpenAI and aiming to strengthen its competitive position.

Meta is integrating its generative AI assistant, Meta AI, across Facebook, Instagram, and WhatsApp to enhance ad targeting and content recommendations starting December 16th. By analyzing user interactions with Meta AI, the system will personalize experiences, potentially showing related Reels or ads based on conversations. Voice interactions via Ray-Ban Meta glasses will also contribute. While users can’t opt out, those not using Meta AI won’t be affected. The rollout begins in the UK and EU, reflecting Meta’s push to monetize AI while navigating data privacy concerns.