Apple asks judge to toss Musk’s lawsuit over ChatGPT on iPhone

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In this Newsletter Today:

• Apple asks judge to toss Musk’s lawsuit over ChatGPT on iPhone

• Samsung teams up with OpenAI to deliver Stargate chips

• Meta will soon use your AI chats to personalize your feeds

• Top New AI Tools

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Apple asks judge to toss Musk’s lawsuit over ChatGPT on iPhone

Apple has responded to Elon Musk's allegations regarding its partnership with OpenAI to integrate ChatGPT into the iPhone, which Musk claims hampers competition within the AI sector. In legal filings reviewed by Bloomberg, Apple's counsel seeks to have Musk's lawsuit dismissed, characterizing the plaintiff's claims as mere "speculation on top of speculation." Musk's companies, xAI and X Corp, accuse Apple of manipulating App Store rankings to disadvantage competing chatbots and applications like Grok and X, which are in contention with OpenAI. Apple's legal representatives argue that Musk's companies have failed to substantiate their allegations with credible evidence, highlighting that their agreement with OpenAI is "expressly not exclusive." They emphasize that Apple is well-known for its intentions to collaborate with other generative AI chatbots. Furthermore, they assert that competition law does not require Apple to engage with every generative AI chatbot on the market simultaneously, regardless of the quality of those competing products.

Samsung teams up with OpenAI to deliver Stargate chips

OpenAI is forming strategic partnerships with South Korean companies Samsung and SK Hynix to procure advanced computer chips essential for its expansive Stargate project. These collaborations aim to increase the production capacity to meet OpenAI's burgeoning demand for memory chips vital for powering its resource-intensive AI models. OpenAI anticipates requiring up to 900,000 semiconductor wafers monthly from these two manufacturers.

In addition to chip supply agreements, OpenAI is negotiating with both firms to establish two AI data centers in South Korea. Samsung is also considering the venture of floating data centers, which promise to enhance cost efficiency and decrease carbon emissions.

These agreements represent OpenAI's latest strategic initiatives to secure the necessary computing resources, infrastructure, and funding for its AI undertakings. In a related development, Nvidia announced an investment of up to $100 billion in OpenAI, further supporting its scaling efforts.

Meta will soon use your AI chats to personalize your feeds

Meta will introduce a new policy on December 16th, leveraging conversations with its AI assistant to enhance ad personalization across its platforms. This initiative will provide personalized content recommendations based on users’ discussions with the AI, such as targeted ads for hiking equipment after inquiries about outdoor activities. However, conversations concerning sensitive issues, including religious and political beliefs, will not be used for ad targeting. Users will have the ability to adjust their ad preferences but cannot opt out of the use of AI conversation data for personalization. Additionally, interactions across linked accounts—Facebook, Instagram, and WhatsApp—will be integrated for ad targeting purposes, though encrypted conversations' treatment will remain the same. Notifications about this change will begin on October 7th, and implementation will initially exclude users in the UK, EU, and South Korea due to regulatory concerns.

Used by Execs at Google and OpenAI

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