Alvaro Lopez Ortega / 2025-07-03 Briefing

Created Thu, 03 Jul 2025 22:24:12 +0000 Modified Sun, 06 Jul 2025 02:46:44 +0000
2554 Words

Today’s tech highlights include Hived’s $42 million funding to expand AI-powered electric parcel delivery in the UK, Meta’s AI superintelligence lab hiring Ilya Sutskever, and Tesla’s Q2 deliveries dropping 14% amid sales challenges. Additionally, researchers expose “potemkin understanding” in large language models, questioning their true conceptual grasp.

▶️ Internet Infrastructure

Hived Secures $42M to Expand AI-Driven Electric Parcel Delivery in the UK

Hived raised $42M to expand its AI-powered, electric fleet parcel delivery service in the UK, leveraging real-time route optimization and dynamic clustering to improve efficiency and customer trust.

  • Hived, a UK-based AI-driven parcel delivery startup, raised $42 million in Series B funding led by NordicNinja with participation from Wex Venture Capital, Marunouchi Innovation Partners, and others.
  • The funding supports expansion into regional markets, hiring, and development of its HIVEDmind AI logistics platform, which uses real-time warehouse sorting and route optimization.
  • Hived operates a 100% electric fleet, delivering over 6.5 million parcels in Greater London since 2021 with 99% on-time delivery, targeting scalable, sustainable logistics solutions.

Palmer Luckey Launches Erebor Digital Bank for Startups and Crypto Lending

Palmer Luckey’s Erebor, a digital bank for startups and crypto companies, aims to raise $225 million at a $2 billion valuation, planning to provide crypto-lending services.

  • Palmer Luckey, founder of Oculus, Anduril Industries, and Erebor, is launching Erebor, a digital bank targeting startups and crypto firms.
  • Erebor is raising at least $225 million at a $2 billion valuation, backed by Founders Fund and 8VC.
  • Erebor has applied for a US bank charter to offer services including crypto-collateralized lending, led by co-CEOs Jacob Hirshman and Owen Rapaport, with Mike Hagedorn as president.

Apple Explored Developing a Cloud Service for Developers

Apple considered launching a cloud service for developers, aiming to expand its ecosystem, though no official plans or technical details have been disclosed.

  • Apple explored launching a cloud service targeted at developers, as reported by The Information
  • The initiative was under consideration but not confirmed; details on technical specifications or timeline are unspecified
  • The move aligns with Apple’s broader strategy to expand services and developer ecosystem offerings

Alibaba Cloud’s Eigen+ Boosts Database Efficiency and Prevents OOM Errors

Alibaba Cloud’s Eigen+ cluster manager improves database VM memory management by detecting high-risk instances, preventing OOM errors, and boosting memory efficiency by 36%, surpassing rivals.

  • Alibaba Cloud introduced Eigen+ cluster manager at SIGMOD/PODS 2025, designed to outperform hyperscalers in database efficiency
  • Eigen+ profiles database instances to detect transient memory use, prevents memory oversubscription, and enables live workload migration
  • Applying Eigen+ to MySQL eliminated OOM errors and increased memory utilization efficiency by 36%, allowing more VMs per server

Let’s Encrypt Launches Free Short-Term IP Address Certificates in 2025

Let’s Encrypt now offers free, short-lived (six-day) IP address certificates, expanding use cases like default landing pages and secure device access, with general release expected later in 2025.

  • Let’s Encrypt began issuing free digital certificates for IP addresses in July 2025
  • Certificates are limited to six days and available in the staging environment, with general availability later in 2025
  • IP certificates can be used for hosting default landing pages, secure remote access, and supporting DNS over HTTPS, reducing costs and enabling direct IP access

Microsoft exits Pakistan, shifts to partner model amid challenges

Microsoft is exiting Pakistan, shifting to a partner-based model, with all local staff laid off; the move aims to maintain service despite the country’s political and infrastructural challenges.

  • Microsoft announced the closure of its Pakistan subsidiary, with only about five employees affected.
  • The company states it is changing its operating model, serving customers via partners and nearby offices, without impacting service agreements.
  • All local employees, reportedly five, lost their jobs; Microsoft asserts customer service quality will remain unaffected.

US Tariffs and Geopolitical Tensions Drive Up Data Center Costs and Delays in Europe

US tariffs and geopolitical issues raise datacenter costs and delays, with AI workloads increasing by 42% annually, prompting reevaluation of infrastructure and rising European build costs.

  • US tariffs and geopolitical instability increase costs and construction delays for datacenters in Northern Europe
  • AI infrastructure demand has grown by 42% over the past year, straining existing and planned sites
  • 74% of operators rethought power, cooling, and location strategies; construction costs in Europe rose 6.5% to $9.1 million per MW in 2024

US Ends Export Restrictions on EDA Tools to China After 40 Days

US BIS ended the export licensing requirement for EDA tools to China on July 2, 2025, after a 40-day restriction, easing US-China semiconductor technology trade tensions.

  • US Department of Commerce’s Bureau of Industry and Security (BIS) lifted the license requirement for exporting Electronic Design Automation (EDA) tools to China on July 2, 2025
  • The licensing restriction, introduced in May 2025 during the Trump administration, lasted fewer than six weeks
  • Major EDA vendors, including Synopsys, Siemens EDA, and Cadence Design Systems, confirmed receipt of BIS notices ending export controls

Wayback: Experimental Wayland Server Brings X11 Compatibility to Alpine Linux

Wayback is an experimental Wayland display server that hosts a full Xwayland server, allowing traditional X11 desktops and window managers to run on Wayland without rewriting them.

  • Wayback is an experimental Wayland-based display server that provides X11 compatibility by hosting a full Xwayland server without compositing.
  • Developed by Ariadne Conill, it aims to replace X.org in Alpine Linux, reducing maintenance for X applications.
  • It enables running traditional X11 window managers and desktops on Wayland, addressing compatibility issues with existing X11 environments.

Helldivers 2 Launches on Xbox Series X/S with Cross-Play in August 2025

Arrowhead Game Studios’ Helldivers 2 releases on Xbox Series X/S on August 26, 2025, costing $39.99, as the first PlayStation-published game on Xbox with cross-platform play.

  • Helldivers 2 will launch on Xbox Series X and S on August 26, 2025, priced at $39.99
  • First PlayStation-published title to release on Xbox with cross-play support
  • Originally launched on PlayStation 5 and PC in early 2024, receiving positive Steam reviews before Sony’s PSN login requirement caused review bombing; no PSN login required on Xbox

▶️ Open Source

Canonical Launches Custom OpenJDK Builds and Chiseled Ubuntu Containers

Canonical enhances Ubuntu Java support by releasing custom OpenJDK builds, chiseled containers for OpenJRE 8, 17, 21, and offering tools like Spring devpack, with extended Ubuntu Pro support.

  • Canonical introduces its own builds of OpenJDK and offers extended support via Ubuntu Pro
  • Launches chiseled Ubuntu containers for OpenJRE versions 8, 17, and 21, utilizing the Chisel tool for package minimization
  • Provides a pre-assembled Spring devpack and simplifies OpenJDK installation on Ubuntu, with certification and long-term support up to 12 years

▶️ Software Development

LLMs Speed Up Code Generation but Human Review Remains the Bottleneck

LLMs speed up code creation but do not reduce the effort needed for understanding, testing, and trusting code, making human review and collaboration the ongoing bottleneck.

  • Writing code is not the primary bottleneck in software engineering; code reviews, knowledge transfer, testing, debugging, and coordination are.
  • The marginal cost of adding new software approaches zero with LLMs, but understanding, testing, and trusting code remain costly.
  • LLMs accelerate code generation but increase code volume and complexity, intensifying review and maintenance challenges.

▶️ Management and Leadership

Port of tmux to Rust Complete with Manual Translation and Custom Build Integration

Collin Richards’ tmux-rs is a complete port of tmux to Rust, achieved through manual translation from C, involving complex build integration, handling C patterns like goto and intrusive macros, and reimplementing parser with lalrpop.

  • Port of tmux from C to Rust by Collin Richards, completed on July 3, 2025, with the codebase now fully in 100% (unsafe) Rust.
  • Original code (~67,000 lines of C) expanded to ~81,000 lines of Rust after porting, involving manual translation from C rather than relying on C2Rust.
  • Build process involves integrating Rust static libraries into autotools-based tmux build, with custom build.sh and build.rs scripts managing compilation and linking.

Daniel Gross Joins Meta’s AI Superintelligence Lab Amid Hiring Surge

Daniel Gross joins Meta’s AI superintelligence lab, working on AI products amid Meta’s extensive hiring campaign to develop superintelligence, with Sutskever as SSI CEO.

  • Daniel Gross, ex-CEO and co-founder of Safe Superintelligence Inc., joins Meta’s new AI superintelligence lab.
  • Gross will develop AI products; Ilya Sutskever, his SSI co-founder, becomes SSI CEO.
  • Meta is aggressively recruiting AI industry experts, with CEO Mark Zuckerberg personally involved in hiring efforts.

Former Microsoft Employee Advocates Diversifying Income to Overcome Layoffs

Patrick Lyons, a former Microsoft employee, was laid off twice in six months; his financial stability was supported by severance and side businesses, emphasizing diversified income for resilience.

  • Patrick Lyons was laid off from Microsoft twice within six months, after five years at the company.
  • He maintained financial stability through severance pay and three side businesses, including an online fitness coaching company.
  • Lyons advises developing monetizable passions and multiple income streams to mitigate layoff impacts.

US Air Force Halts Johnston Atoll Rocket Plans Over Environmental Concerns

The US Air Force halted hypersonic rocket resupply site plans at Johnston Atoll over environmental concerns about seabird habitats, exploring other locations while considering environmental impacts.

  • US Air Force paused plans for rocket landings at Johnston Atoll due to seabird nesting and breeding habitat concerns, specifically for red-tailed tropicbirds.
  • The original plan involved using hypersonic rockets to deliver up to 100 tons of supplies rapidly, with SpaceX and Blue Origin as potential providers.
  • The Department of the Air Force is exploring alternative sites, including Kwajalein Atoll, Midway Island, and Wake Island, and has suspended the Johnston Atoll environmental assessment.

Tesla Q2 2025 Deliveries Drop 14% Amid Sales and Trust Challenges

Tesla’s Q2 2025 deliveries dropped 14% YoY to 384,122 vehicles amid declining sales, inventory concerns, and Musk’s attention on robotaxis and political disputes, impacting market confidence.

  • Tesla reported Q2 2025 vehicle deliveries of 384,122 and production of 410,244, marking a 14% YoY decrease and a second consecutive decline.
  • Deliveries missed analyst expectations slightly; sales decline linked to inventory issues, Cybertruck recall, and Musk’s distractions.
  • Musk’s focus on robotaxis, humanoid robots, and political disputes with Trump correlates with declining EV sales and public trust issues.

Meta disputes the €200 million EU fine over its pay-or-consent ad model, asserting it is lawful and appealing the Digital Markets Act violation ruling, which mandates a less personalized, free ad service.

  • Meta opposes €200 million EU fine for its pay-or-consent ad model, claiming it is unlawful and appeals the decision.
  • The European Commission ruled in April that Meta’s model violates the Digital Markets Act (DMA), requiring a less personalized, free ad service.
  • Meta argues its model offers fair compensation for valuable services and cites support from courts and data protection authorities in France, Denmark, and Germany.

US Congress Approves Budget Without AI Regulation Ban, Extending Moratorium

The US Congress approved Trump’s budget bill without the proposed AI regulation ban, extending the moratorium to five years and linking state AI rules to rural broadband funding, with increased funding and spectrum auctions.

  • The US Congress passed President Trump’s budget reconciliation bill without the controversial ban on state-level AI regulation, limiting its impact on the tech industry.
  • The bill re-drafted the AI regulation moratorium to five years, allowing states to enforce their own rules if they forgo rural broadband funds from the BEAD program.
  • The Senate rejected the AI regulation ban with a 99-1 vote, leaving AI enforcement to individual states; the bill increases rural broadband funding by $500 million and broadens eligible projects to include AI infrastructure.

CAF Bank Faces Ongoing Disruptions After Cloud Migration to Temenos Transact

CAF Bank’s migration to Temenos Transact on June 9 caused widespread customer disruptions, including login failures and integration issues, with ongoing support and operational challenges.

  • CAF Bank, owned by Charities Aid Foundation, migrated to cloud-based Temenos Transact (formerly T24) on June 9, replacing Finastra’s Bankmaster platform from 2005
  • Post-migration, customers experienced login issues, poor QuickBooks integration, system logouts, and support delays; problems persist weeks after launch
  • CAF Bank identified QuickBooks connection issues, aiming for resolution by July 11; management of transition criticized as “disgraceful,” with reports of missed payrolls and trustees being locked out

ZTE Boosts Energy Efficiency and Cuts Emissions Amid Net-Zero Goals

ZTE committed to sustainability, reducing emissions and increasing energy efficiency, with targets aligned to the Science Based Targets initiative, including reaching net-zero by 2050.

  • ZTE improved its overall energy efficiency by 20% from 2021 to 2024
  • Reduced scope 1 and 2 carbon emissions by 13.4% year-on-year in 2024
  • Achieved revenue of RMB121.3bn and net profit of RMB8.4bn in 2024; set science-based targets for net-zero emissions by 2050

AI Note Takers Take Over Virtual Meetings Sparking Privacy and Etiquette Concerns

AI note takers are dominating virtual meetings, raising privacy, etiquette, and legal issues, as tools like Zoom and OpenAI’s ChatGPT enable recording and summarization of calls.

  • AI note takers have increasingly joined Zoom, Microsoft Teams, and Google Meet calls, recording, transcribing, and summarizing meetings.
  • Some AI tools are assisting present participants or representing absent individuals, raising privacy and etiquette concerns.
  • Zoom CEO Eric Yuan has discussed future features like “digital twins” that can attend meetings and act on behalf of users.

▶️ Technology

Ilya Sutskever Named CEO of Safe Superintelligence Amid Meta’s AI Push

Ilya Sutskever, co-founder of OpenAI, becomes CEO of Safe Superintelligence after Meta poached Daniel Gross, amid Zuckerberg’s $14 billion AI investment and efforts to develop superintelligence independently.

  • Ilya Sutskever announced he will become CEO of Safe Superintelligence, the AI startup he co-founded.
  • Daniel Gross, the previous CEO, left on June 29 after Meta attempted to acquire the company.
  • Meta CEO Mark Zuckerberg’s multibillion-dollar AI hiring spree included a $14 billion investment in Scale AI and the creation of Meta Superintelligence Labs, but did not include Gross among new hires.

Researchers reveal “potemkin understanding” exposes LLMs’ false grasp of concepts

Researchers identify “potemkin understanding” in large language models, where high benchmark performance masks lack of genuine conceptual comprehension, undermining evaluation of AI capabilities.

  • Researchers from MIT, Harvard, and the University of Chicago introduce “potemkin understanding” to describe large language models’ failure to genuinely grasp concepts despite passing benchmarks
  • “Potemkin understanding” occurs when models succeed at tests without true conceptual comprehension, similar to “hallucinations” but involving false conceptual coherence
  • Benchmarks may be misleading as models can achieve high scores without understanding, with tests showing models like GPT-4o and Llama-3.3 frequently fail in applying concepts beyond test scenarios

Google Cloud Unveils Gemini Multi-Agent AI for Automated Data Management

Google Cloud’s multi-agent AI system uses autonomous, specialized agents within Gemini to automate data preparation, governance, and quality, enhancing efficiency and trust at scale.

  • Google Cloud is developing multi-agent AI systems within a metadata-driven framework called Gemini, utilizing specialized autonomous agents for data tasks.
  • These agents handle data ingestion, transformation, governance, validation, and quality, passing information and tasks to each other in a collaborative ecosystem.
  • The system employs hierarchical, context-aware intelligence, incorporating organizational, sector-specific, and company-specific metadata, with autonomous learning capabilities for detecting deviations and optimizing workflows.

AI Automation Threatens White-Collar Jobs and Economic Stability

The article highlights AI’s growing capability to automate white-collar tasks, risking job losses in finance, legal, and administrative sectors, with experts warning of substantial economic impacts.

  • The article discusses potential AI-driven automation impacting white-collar jobs, with concerns over job displacement.
  • AI advancements threaten roles in sectors such as finance, legal, and administrative services.
  • Experts warn that AI could replace tasks traditionally performed by humans, leading to significant economic shifts.