YouTube Tests ‘Ask YouTube’ AI Search for Premium Users, Pentagon Strikes AI Deal with Google, and Meta Secures 1 GW Space Solar Power Deal with Overview Energy.
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Show Notes
OpenAI Faces Financial Scrutiny Ahead of IPO
OpenAI is reportedly facing financial scrutiny and a potential slowdown in growth, raising concerns about its ability to fund massive future data center spending, including large deals with Oracle, Nvidia, Amazon, and modifications to its Microsoft partnership. Despite public denials of misalignment by CEO Sam Altman and CFO Sarah Friar, the finance chief is reportedly working to cut costs, prompting closer board examination of computing deals ahead of the company’s anticipated public offering.
YouTube Tests AI-Powered “Ask YouTube” Search
YouTube is testing a new AI-powered interactive search feature called “Ask YouTube” for Premium subscribers in the U.S. aged 18 and older who opt in. This tool provides comprehensive, step-by-step results for complex queries like recipes or travel plans, integrating text, short videos, and longer videos. Users can ask follow-up questions for a seamless experience. This is part of Google’s larger initiative to expand AI-mode search across its platforms.
Google Signs Classified AI Deal with Pentagon
Google, along with other major AI firms like OpenAI and xAI, has secured a deal with the U.S. Department of Defense allowing the Pentagon to use its artificial intelligence models for classified work, including mission planning and weapons targeting. The agreement is part of several contracts worth up to $200 million signed in 2025 with top AI labs, permitting the Pentagon to use Google’s AI for “any lawful government purpose.” However, Google’s contract includes a clause that the AI is not intended for domestic mass surveillance or autonomous weapons without human oversight, a commitment the company supports while acknowledging the government’s right to operational decision-making.
Meta Bets on Space-Based Solar Power
Meta has signed a major capacity reservation agreement with Overview Energy for up to 1 gigawatt of space-collected solar power for its data centers. Overview Energy plans to launch spacecraft into geosynchronous orbit by 2030 to collect solar energy, convert it into a near-infrared beam, and transmit it to Earth-based solar farms at night.
This approach could significantly boost solar capacity while reducing reliance on battery storage and bypassing transmission constraints—an unconventional but ambitious solution already demonstrated in limited tests.
Microsoft Shifts GitHub Copilot to Usage-Based Pricing
Microsoft is transitioning all GitHub Copilot plans to a usage-based billing model starting June 1, 2026. The new system will rely on token consumption, with users receiving a monthly allocation of GitHub AI Credits and the option to purchase more as needed.
The shift reflects the growing computational demands of Copilot as it evolves into a more advanced, agentic platform. Customers will receive preview billing statements in May to better understand the new pricing structure.
Snapchat Introduces AI-Powered Conversational Ads
Snapchat is launching “AI Sponsored Snaps,” a new ad format embedded within its Chat tab. The feature allows users to interact directly with brand AI agents, asking questions and receiving personalized recommendations in a conversational format.
Snap sees chat as prime advertising real estate and is leveraging user familiarity with AI messaging to create more engaging brand interactions across its nearly one billion monthly users.
China Forces Meta to Unwind Manus Acquisition
Meta has been ordered by Chinese regulators to unwind its more than $2 billion acquisition of AI startup Manus, citing national security concerns. Authorities have mandated the restoration of Manus’s Chinese assets and the removal of any transferred data or technology.
The move follows an earlier investigation, with penalties possible if the companies fail to fully reverse the deal.
Google Gemini Tests Proactive AI Assistance
Google’s Gemini is rolling out a new feature called Proactive Assistance in a beta version of its Android app. The tool provides unprompted, personalized suggestions using data from apps like Calendar, Docs, Drive, Gmail, and Keep.
Processing is expected to occur on-device for privacy, and the feature builds on earlier demonstrations of Gemini’s ability to anticipate user needs, such as generating study materials automatically.
Friendster Set for a Real-World Comeback
Entrepreneur Mike Carson has acquired the defunct social network Friendster for $30,000 and plans to relaunch it with a focus on real-world interaction. The new app will require users to physically tap phones to connect and will weaken digital connections that lack in-person interaction over time.
The approach intentionally introduces friction, aiming to counter passive scrolling habits encouraged by platforms like Facebook and TikTok.
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