Anthropic says it will have its first profitable quarter, telling investors it will more than double revenue to around $10.9 billion in its second quarter. The figure matters because it signals that generative-AI economics are shifting from growth-at-any-cost to cash-visibility, and that compute-heavy rivals may soon be judged on margin trajectories rather than only model capability. Source
xAI burned $6.4 billion last year, according to SpaceX’s IPO filing, even as it plans a “massive Grok expansion.” That combination—large losses plus continued scaling—frames the competitive race in AI as an ongoing industrial build-out, with capital markets beginning to price the costs of frontier progress directly into corporate disclosures. Source
SpaceX’s IPO filing also shows xAI is buying $2.8 billion worth of natural gas turbines over the next three years, following litigation involving its data centre generators. The spending matters politically and economically because it ties AI growth to energy infrastructure decisions, and because legal and reputational risks are now directly linked to what hardware and fuel suppliers get funded. Source
Anthropic will pay xAI $1.25 billion per month for compute, according to the newly disclosed deal terms. At that rate, compute becomes a real-time transfer of cash between frontier labs, strengthening the case that agent-era deployments will be constrained less by software and more by access to large-scale processing capacity. Source
Hark, a secretive AI interface startup founded by Brett Adcock, has raised a $700M Series A and is now valued at $6 billion by its investors. The funding scale matters because it suggests a market for “universal” layers that let users access multiple AI functions through a single interface, intensifying competition not just among models but among the control surfaces agents will use to act on users’ behalf. Source