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Startups who read beehiiv can receive a 90% discount on Intercom's AI-first customer service platform, plus Fin—the #1 AI agent for customer service—free for a full year.
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PUBLIC SECTOR
Europe Goes AI First
EU Commission President Ursula von der Leyen wants Europe to think "AI first" in everything it does.
Her goal is simple: make the future of AI happen in Europe, not somewhere else.
The two plans are called Apply AI Strategy and AI in Science Strategy. They are the first real steps in the EU's bigger AI Continent Action Plan that was announced earlier this year.
The Apply AI Strategy focuses on getting businesses and governments to actually use AI. The EU wants AI in hospitals, energy companies, car makers, farms, and even defense. They are putting about 1 billion euros into this plan.
The AI in Science Strategy is about making Europe a center for AI research. The main piece is called RAISE, which stands for Resource for AI Science in Europe. RAISE will pool together AI resources for scientists. The EU plans to double its yearly AI research spending to over 3 billion euros.
Next up, the Commission will present a Data Union Strategy at the end of October to make sure everyone can access the high quality data that AI needs to work well.
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CLOUD PROVIDERS
AWS Launches Quick Suite: New AI Agent Push
AWS just rolled out Quick Suite, a new platform that brings together several AI tools into one place for business users. Here’s what it does:
First, you can ask questions about your data using everyday language instead of complicated computer code.
Second, you can search through information both inside and outside your company.
Third, you can set up tasks to run automatically.
AWS is also folding its existing tool called QuickSight into this new Quick Suite. People who already use QuickSight will get moved over to the new system automatically.
This launch is part of a bigger race happening right now. All the major cloud companies are rushing to release AI tools that can act more like digital helpers.
Microsoft added new features to Azure AI Foundry last week to help companies build these AI helpers.
Google Cloud launched Gemini Enterprise on the same day as AWS, giving customers access to AI tools from over 100,000 partners.
AWS has a strong position in this race because it already controls about one third of the money that businesses spend on cloud services. Amazon's CEO Andy Jassy said in July that he feels good about what's coming next for AWS in the AI space.
But there's a catch. Most employees don't think their companies are doing a good job adding AI into their daily work. Only 18% of workers say their organization is effective at this, based on data from Gartner.
📺️ INTERVIEWS
The Future of Software Development in the Cloud
On this episode of Screaming in the Cloud, Corey welcomes back Chris Weichel, CTO of Ona (formerly Gitpod). Chris explains the rebrand and why Ona is building for a future where coding agents, not just humans, write software.
They discuss what changes when agents spin up environments, why multi-agent workflows feel addictive, and how Ona is solving the scaling and safety challenges behind it.
If you’re curious about the next wave of software engineering and how AI will reshape developer tools, this episode is for you.
CLOUD PROVIDERS
Oracle's Cloud Margin Boost with Scale Expansion
Oracle stock dropped as much as 5% after reports showed the company's graphics processing unit rental business made only a 14% gross margin last quarter.
While this number might seem low, analysts say it's actually normal for this type of basic cloud service. When companies rent out raw computing power, they don't make as much money because it's a simple product that many companies offer.
The real money comes from more advanced services that Oracle also sells, like special database tools that work across different cloud systems. These fancy services make more profit and help boost Oracle's overall earnings.
Oracle is still rated as fairly valued at $330 per share. The company has strong defenses against competitors because customers find it hard and expensive to switch to other cloud providers once they start using Oracle's services.
The company recently announced a huge 359% jump in future contracted business, which shows customers are signing up for long-term deals. This bigger scale helps Oracle negotiate better prices with suppliers and compete with giants like Amazon and Microsoft.
JOB MARKET
AI Drives 7,000 Job Cuts in September
Companies have cut more than 17,000 jobs this year because of AI, according to a new report from outplacement firm Challenger, Gray & Christmas.
Most of these job losses happened in the second half of the year. September alone saw 7,000 workers lose their jobs due to AI.
The tech industry is getting hit the hardest. Companies are using AI to do work that people used to do, which makes it harder for workers to find new jobs. Entry-level engineers are having an especially tough time.
Salesforce is one big example. The company's CEO Marc Benioff said they cut their customer service team from 9,000 workers down to 5,000. The reason? AI agents started doing the job of talking to customers instead of people.
This is part of a bigger picture. Companies have announced nearly 950,000 job cuts total this year. That's the highest number since 2020 when the pandemic started.
Government cuts are actually the biggest reason for layoffs right now, followed by economic problems and store closings. But AI-related cuts are growing fast. Back in July, the number was much smaller. Now it has jumped up quickly.
Tech companies say AI is changing how work gets done. Many are now requiring their workers to learn how to use AI tools.
AI
How AI's hunger for data is transforming Storage Needs
AI systems need so much data that the old ways of storing information just don't work anymore.
Companies built their storage systems years ago for normal business tasks like running databases and apps. These systems worked fine because they could predict what was needed and when.
But AI changed everything. When you train an AI model, it needs to grab huge amounts of information all at once from many different places.
Scientists working with medical data, like the UK Biobank with its 30 petabytes of health records, have dealt with similar issues for years. They learned to use different types of storage for different needs.
The data you use most often goes on fast, expensive storage.
The stuff you rarely touch goes on slower, cheaper storage.
The bigger worry is keeping data safe and working properly. Research shows:
Companies give up on 60% of their AI projects because their data isn't ready or reliable enough.
Only 48% of AI projects actually get finished and used.
Bad data quality costs each company between 13 and 15 million dollars every year.
When data systems break down, it costs about 300,000 dollars per hour.
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