{"id":32974,"date":"2025-07-30T17:37:10","date_gmt":"2025-07-30T17:37:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/32974\/"},"modified":"2025-07-30T17:37:10","modified_gmt":"2025-07-30T17:37:10","slug":"the-trillion-dollar-ai-arms-race-is-here-artificial-intelligence-ai","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/32974\/","title":{"rendered":"The trillion-dollar AI arms race is here | Artificial intelligence (AI)"},"content":{"rendered":"<p class=\"dcr-16w5gq9\">Hello, and welcome to TechScape. Johana Bhuiyan and Dara Kerr here, filling in for Blake Montgomery, who\u2019s enjoying the beach but likely getting sunburned.<\/p>\n<p>Tech companies throw billions towards AI infrastructure<\/p>\n<p class=\"dcr-16w5gq9\">Tech companies are fighting to claim the title of having the world\u2019s most advanced AI. The goal is to supercharge their bottom line and keep investors and Wall Street happy. But developing the world\u2019s most advanced AI means spending billions on data centers and other physical infrastructure to house and power the supercomputers needed for AI. It also means a <a href=\"https:\/\/www.theguardian.com\/technology\/2024\/mar\/07\/ai-climate-change-energy-disinformation-report\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">drain on natural resources<\/a> and the grid in the areas surrounding data centers worldwide.<\/p>\n<p class=\"dcr-16w5gq9\">Still, last week\u2019s earnings reports made clear that tech firms are forging ahead. Google <a href=\"https:\/\/www.theguardian.com\/us-news\/2025\/jul\/23\/google-expected-to-report-earnings\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">announced<\/a> it was planning to spend $85bn on building out its AI and cloud infrastructure just in 2025 \u2013 $10bn more than it initially predicted. And the company expects that spending to increase again in 2026. For context, Google reported $94bn in revenue in the second quarter of this year. Chief executive Sundar Pichai said Google is in a \u201ctight supply environment\u201d when it comes to the infrastructure needed to support AI processing and compute. The results of this increased spending would still take years to be realized, he said.<\/p>\n<p class=\"dcr-16w5gq9\">Google isn\u2019t alone. Amazon has<a href=\"https:\/\/techcrunch.com\/2025\/02\/06\/amazon-doubles-down-on-ai-with-a-massive-100b-spending-plan-for-2025\/\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\"> said<\/a> it plans to spend $100bn in 2025 \u2013 the \u201cvast majority\u201d of which will go to powering the AI capabilities of its cloud division. As a point of comparison, Amazon spent just under $80bn in 2024.<\/p>\n<p class=\"dcr-16w5gq9\">\u201cSometimes people make the assumption that if you\u2019re able to decrease the cost of any type of technology component \u2026 that somehow it leads to less total spend in technology,\u201d said Amazon\u2019s CEO Andy Jassy during an earnings call in February. \u201cWe\u2019ve never seen that to be the case.\u201d<\/p>\n<p class=\"dcr-16w5gq9\">Meta, too, has<a href=\"https:\/\/www.theguardian.com\/technology\/2025\/apr\/30\/meta-first-quarterly-earnings\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\"> upped the amount<\/a> it plans to spend on AI infrastructure. In June, Mark Zuckerberg said the company planned to spend \u201chundreds of billions\u201d of dollars on building out a network of massive data centers across the US including one that the firm expects to be up and running in 2026. Originally, executives said the firm was projected to spend $65bn in 2025 but adjusted that to anywhere between $64bn and $72bn.<\/p>\n<p class=\"dcr-16w5gq9\">Meta and Amazon report earnings this week.<\/p>\n<p>AI is coming for artists, can anything be done rein it in?Himi and Mahito Maki in a scene from The Boy and the Heron. Photograph: AP<\/p>\n<p class=\"dcr-16w5gq9\">Artificial intelligence companies have come under fire for cannibalizing creative industries. Artists have seen their work used without their permission as companies train their algorithms. Creative teams have shrunk and been laid off as parts of their work are being done by AI.<\/p>\n<p class=\"dcr-16w5gq9\">\u201cIt will mean that 95% of what marketers use agencies, strategists, and creative professionals for today will easily, nearly instantly, and at almost no cost be handled by AI,\u201d Sam Altman, the CEO of OpenAI, <a href=\"https:\/\/store.hbr.org\/product\/ai-first-the-playbook-for-a-future-proof-business-and-brand\/10742?srsltid=AfmBOopr5n38LpW_JD66jFqKARr2FCkVY3YcHe-ngcBnnuBczntKYWXg\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">has said<\/a>. \u201cNo problem.\u201d<\/p>\n<p class=\"dcr-16w5gq9\">In response, coalitions of artists have<a href=\"https:\/\/www.wired.com\/story\/ai-copyright-case-tracker\/#:~:text=Over%20the%20past%20two%20years,Google%2C%20Anthropic%2C%20and%20Nvidia.\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\"> launched several copyright lawsuits<\/a> against the top AI companies, including OpenAI, Meta, Microsoft, Google and Anthropic. The companies say that under the \u201cfair use\u201d doctrine they should be able to use copyrighted material for free and without consent. Artists, including names such as Sarah Silverman and Ta-Nehisi Coates, say the companies shouldn\u2019t be able to profit off their work. So far, the <a href=\"https:\/\/www.theguardian.com\/technology\/2025\/jun\/30\/ai-techscape-copyright\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">AI companies are winning<\/a>.<\/p>\n<p class=\"dcr-16w5gq9\">Adobe, the software company best known for making creative tools such as Photoshop, says it\u2019s trying to walk the line between developing useful AI programs and making sure artists aren\u2019t getting the short end of the stick.<\/p>\n<p class=\"dcr-16w5gq9\">The company has introduced two \u201ccreator-safe\u201d tools, that aim to tackle issues around copyright and intellectual property. One is its Firefly AI model, which Adobe says is trained only on licensed or public-domain content. The other is the Adobe Content Authenticity web app, which lets photographers and other visual artists indicate when they don\u2019t want their work to be used to train AI and also lets them add credentials to their digital creations.<\/p>\n<p class=\"dcr-16w5gq9\">Artists can \u201capply a signature to it in the same way that a photographer might sign a photo or a sculptor would etch their initials into a sculpture\u201d, said Andy Parsons, a senior director at Adobe who oversees the company\u2019s work on content authenticity. We spoke with Parsons about the burgeoning world of AI and what it means for creators.<\/p>\n<p class=\"dcr-16w5gq9\">***<br \/>Q: What do you see as the biggest issues that creators and artists are facing with the advent of AI, and generative AI?<\/p>\n<p class=\"dcr-16w5gq9\">I think there\u2019s one prevailing issue, which is the concern that various AI techniques will compete with human ingenuity and with artists of all kinds. And that goes for agencies, publishers, individual creators.<\/p>\n<p class=\"dcr-16w5gq9\">***<br \/>Q: Is Adobe Firefly one of the ways that Adobe is trying to address these problems and make sure that creators\u2019 work is not ripped off?<\/p>\n<p class=\"dcr-16w5gq9\">Yeah, absolutely. From the beginning of Adobe Firefly, we followed two guiding principles. One is to make sure that Adobe Firefly is not trained on publicly available content. It\u2019s only trained on things that Adobe and the Firefly team have exclusive rights to use. That means that it can\u2019t do certain things. It cannot make a photo of a celebrity, because that celebrity\u2019s likeness we would consider guarded and potentially protected.<\/p>\n<p class=\"dcr-16w5gq9\">The second thing we built in from the beginning is transparency, so knowing that something that comes out of Firefly was generated by AI. This is what we call content provenance, or content authenticity. It\u2019s making clear something is a photograph or made by an individual artist as opposed to made by AI.<\/p>\n<p><a data-ignore=\"global-link-styling\" href=\"#EmailSignup-skip-link-21\" class=\"dcr-jzxpee\">skip past newsletter promotion<\/a><\/p>\n<p class=\"dcr-1xjndtj\">A weekly dive in to how technology is shaping our lives<\/p>\n<p>Privacy Notice: Newsletters may contain info about charities, online ads, and content funded by outside parties. For more information see our <a data-ignore=\"global-link-styling\" href=\"https:\/\/www.theguardian.com\/help\/privacy-policy\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Privacy Policy<\/a>. We use Google reCaptcha to protect our website and the Google <a data-ignore=\"global-link-styling\" href=\"https:\/\/policies.google.com\/privacy\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Privacy Policy<\/a> and <a data-ignore=\"global-link-styling\" href=\"https:\/\/policies.google.com\/terms\" rel=\"noreferrer nofollow noopener\" class=\"dcr-1rjy2q9\" target=\"_blank\">Terms of Service<\/a> apply.<\/p>\n<p id=\"EmailSignup-skip-link-21\" tabindex=\"0\" aria-label=\"after newsletter promotion\" role=\"note\" class=\"dcr-jzxpee\">after newsletter promotion<\/p>\n<p class=\"dcr-16w5gq9\">***<br \/>Q: What is the Adobe Firefly trained on?<\/p>\n<p class=\"dcr-16w5gq9\">It\u2019s a combination of Adobe Stock and some licensed datasets. It\u2019s trained on things that Adobe has clear rights to use in this manner.<\/p>\n<p class=\"dcr-16w5gq9\">***<br \/>Q: How do tech companies like Adobe avoid copyrighted materials sneaking into the datasets?<\/p>\n<p class=\"dcr-16w5gq9\">We have licensed and clear rights to all of the data that goes into that dataset. There\u2019s an entire team devoted to trust, safety and assurances that the material is available to be used. We don\u2019t crawl the open web, because as soon as you do that, you do risk potentially infringing on someone\u2019s intellectual property. Our feeling is it\u2019s not always the case that more training data is better.<\/p>\n<p class=\"dcr-16w5gq9\">***<br \/>Q: What does the future of human creativity look like now that we\u2019re living in this new world with generative AI?<\/p>\n<p class=\"dcr-16w5gq9\">When it comes to content authenticity, there\u2019s that \u201cnutrition label\u201d idea we sometimes talk about. If you walk into a food store, you have a fundamental right that\u2019s fulfilled in most democratic societies, to know what\u2019s in the food that you\u2019re going to serve your family. And we think the same is true of digital content. We have a fundamental right to know what it is.<\/p>\n<p>The UK rolls out its new online safety rules after a long lead-upSocial media platforms in the UK will be required to put in place measures to protect children. Photograph: Deborah Lee Rossiter\/Alamy<\/p>\n<p class=\"dcr-16w5gq9\">Last week, the internet in the UK underwent a seismic change. As of Friday, social media and other internet platforms will be required to implement safety measures protecting children or face large fines.<\/p>\n<p class=\"dcr-16w5gq9\">It is a significant test for the Online Safety Act, a landmark piece of legislation that covers the likes of Facebook, Instagram, TikTok, YouTube and <a href=\"https:\/\/www.theguardian.com\/technology\/google\" data-link-name=\"in body link\" data-component=\"auto-linked-tag\" rel=\"nofollow noopener\" target=\"_blank\">Google<\/a>.<\/p>\n<p class=\"dcr-16w5gq9\">Read <a href=\"https:\/\/www.theguardian.com\/technology\/2025\/jul\/24\/what-are-the-new-uk-online-safety-rules-and-how-will-they-be-enforced\" data-link-name=\"in body link\" rel=\"nofollow noopener\" target=\"_blank\">the Guardian\u2019s guide to the new rules<\/a>.<\/p>\n<p>The wider TechScape<\/p>\n","protected":false},"excerpt":{"rendered":"Hello, and welcome to TechScape. Johana Bhuiyan and Dara Kerr here, filling in for Blake Montgomery, who\u2019s enjoying&hellip;\n","protected":false},"author":2,"featured_media":17023,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[256,254,255,64,63,105],"class_list":{"0":"post-32974","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-au","12":"tag-australia","13":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/32974","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=32974"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/32974\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/17023"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=32974"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=32974"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=32974"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}