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Rising OpenAI rival Zhipu releases its biggest open-source model to date. (0:16) Tesla confirms Samsung chip deal. (1:01) Baidu unveils next-generation digital human technology. (1:52)
The following is an abridged transcript:
Welcome to Seeking Alpha’s Wall Street Breakfast, where we cover the top news for investors every morning.
Good morning. Today is Monday, July 28, and I’m your host Kim Khan filling in for Julie Morgan.
China’s Zhipu AI is releasing its biggest open-source model to date, joining a growing number of Chinese firms ramping up their free artificial intelligence offerings.
Bloomberg says the startup will release GLM-4.5, an update to its flagship model, as soon as today.
One of China’s AI Tigers, Zhipu – spelled Z-H-I-P-U — has been flagged by OpenAI as a rising rival that benefits from ties to the Communist Party.
Backed by Alibaba (BABA) and Tencent (OTCPK:TCEHY), among others, Zhipu recently raised 1 billion yuan ($140 million) from a state-owned venture capital firm in Shanghai and its parent Zhangjiang Group.
Bloomberg reported earlier this month that Zhipu is considering moving its planned IPO to Hong Kong instead of mainland China. A potential first-time share sale could raise about $300 million.
Tesla (NASDAQ:TSLA) CEO Elon Musk has confirmed that the EV maker has signed a $16.5 billion semiconductor supply deal with Samsung Electronics (OTCPK:SSNLF), identifying Tesla as the unnamed party in a regulatory filing posted by the South Korean tech giant.
“Samsung’s giant new Texas fab will be dedicated to making Tesla’s next-generation AI6 chip. The strategic importance of this is hard to overstate,” Musk posted on X, adding: “Samsung currently makes AI4. TSMC (TSM) will make AI5, which just finished design, initially in Taiwan and then Arizona.”
He also emphasized Tesla’s active involvement in the manufacturing process.
“Samsung agreed to allow Tesla to assist in maximizing manufacturing efficiency. This is a critical point, as I will walk the line personally to accelerate the pace of progress,” he said.
Samsung’s filing says the contract begins July 26, 2025, and runs through December 31, 2033
And Baidu (NASDAQ:BIDU) unveiled its next-generation digital human technology called Nova for professional-level AI livestreaming.
The Chinese AI search giant introduced Nova at the World Artificial Intelligence Conference in Shanghai.
Baidu said Nova was developed by Huiboxing, the company’s AI-powered digital human livestreaming platform. The technology is known for powering the debut of a virtual version of one of China’s most prominent live streamers.
Featuring a significant upgrade from its previous iteration, Nova would see an industry-wide rollout in October. Baidu noted that Nova will enable businesses to deliver professional-level livestream performances on par with top-tier influencers, signaling the start of mass production of virtual top live streamers powered by advanced digital human capabilities.
Nova is built on Baidu’s AI model called Ernie 4.5 Turbo.
Now Here’s What’s Trending on Seeking Alpha:
Taking a look at the markets, stock index futures (SPX) (INDU) (US100:IND) are up after the U.S. and EU struck a trade deal, but the major averages are off their highs. Nasdaq 100 futures are performing best. The 10-year Treasury yield (US10Y) is lower at 4.38%.
Among active stocks, momentum continues for Palantir Technologies (PLTR), up again premarket. The stock has more than doubled since its April low. And among the new meme stocks – known as the DORKs – all four are up, with Kohl’s (KSS) leading Rocket (RKT), Krispy Kreme (DNUT) and Opendoor (OPEN).
The economic calendar is light today before ramping up this week with consumer confidence, Q2 GDP, the June core PCE price index, nonfarm payrolls and, of course, the Fed decision.
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