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Microsoft News
Silicon
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FTC Drops Case To Block Microsoft’s $69bn Activision Purchase
- The US Federal Trade Commission (FTC) has dropped its opposition to Microsoft's $69 billion acquisition of Activision Blizzard following a legal setback.
- The FTC's pursuit of the complaint against the acquisition was deemed 'not in the public interest' after losing an appeal to block the deal.
- The decision to drop the case was made after the Ninth Circuit Court of Appeals ruled that the FTC did not successfully argue its case for a preliminary injunction against the merger.
- The UK's Competition and Markets Authority had previously blocked the deal in April 2023, causing tensions between Microsoft and the British regulator. Microsoft had to make concessions, including not acquiring cloud rights for certain games, to gain UK approval.
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Pymnts
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This Week in AI: The Agentic Web, AI-Native Devices and Search Tools
- Microsoft is transforming Windows into an agentic AI platform to build an open, agent-driven web.
- OpenAI is acquiring Io, an AI devices startup founded by Jony Ive, for $6.4 billion, aiming to reinvent devices for the AI era.
- Google introduced new shopping capabilities in Search, including 'agentic checkout' and virtual try-on features powered by AI.
- Carnegie Mellon researchers found that AI-run company fell short on simple tasks, highlighting that AI agents are not yet ready to take over human work entirely.
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Sdtimes
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AI updates from the past week: Anthropic launches Claude 4 models, OpenAI adds new tools to Responses API, and more — May 23, 2025
- Anthropic launched Claude Opus 4 and Claude Sonnet 4 models for long-running tasks with specific strengths.
- The company introduced beta for extended thinking, tool use, tool parallelism, and Claude Code availability.
- Anthropic API added four new capabilities like code execution, MCP connector, Files API, and prompt caching.
- OpenAI updated Responses API with features like remote MCP server support and Code Interpreter tool.
- OpenAI included background mode, reasoning summaries, and the ability to reuse reasoning items in API requests.
- Mistral launched Devstral, an LLM for coding agents outperforming GPT-4.1-mini and Claude 3.5 Haiku.
- Google I/O presented new AI models like Gemini Diffusion, Gemma 3n for various tasks, and Gemma variants.
- Google announced Gemma Code Assist versions, reimagined Colab, Stitch tool, and Firebase Studios features.
- Microsoft Build introduced GitHub Copilot's new features and Windows AI Foundry platform for AI developer support.
- Microsoft unveiled NLWeb for conversational AI interfaces and Model Context Protocol support across platforms.
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Siliconangle
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Google and Microsoft heat up the AI race as OpenAI opens new front with big acquisition
- Google and Microsoft showcased their advancements in AI at events like Microsoft Build and Google I/O, with Google making significant strides in AI assistant technology and AR glasses while Microsoft unveiled new AI features and agents.
- OpenAI made a major move by acquiring Jony Ive's startup, signaling a growing presence in the AI space alongside companies like Anthropic, which released new models.
- AI was a focal point at tech events like Dell Tech World and Red Hat Summit, where companies emphasized AI's role in enterprise technology and innovation.
- Political tensions influenced tech, with Trump threatening tariffs on Apple and Nvidia CEO criticizing US curbs on AI chip sales to China.
- Upcoming earnings reports from companies like Nvidia, Dell, Salesforce, and more are anticipated in the tech industry.
- Google and Microsoft intensified their AI competition at their respective events, introducing new AI models, features, and tools to enhance user experience and streamline development.
- Google focused on building a universal AI assistant and enhancing search capabilities with AI, while Microsoft introduced tools for AI agent development and platform security.
- At Google's I/O conference, DeepMind CEO Demis Hassabis and Google co-founder Sergey Brin shared insights on AI advancements and the path to achieving artificial general intelligence (AGI).
- OpenAI launched new models, including Claude Opus 4 and Sonnet 4, contributing to the growth of AI applications across various sectors.
- In the enterprise realm, companies like Dell and Red Hat emphasized the integration of AI into their offerings, signaling a shift towards AI-driven solutions for businesses.
- Key financial movements include OpenAI's acquisition of Jony Ive's startup, Snowflake's positive earnings, and various funding rounds for AI-focused startups.
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Psu
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The FTC Confirms It Has Dropped Its Case Against Microsoft’s Activision Blizzard Buyout
- The US Federal Trade Commission has dropped its case against Microsoft's acquisition of Activision Blizzard after two years.
- The FTC's initial attempt to block the acquisition through a preliminary injunction was denied by the US District Court for the Northern District of California.
- An appeal by the FTC to overturn the court's decision was rejected, leading to the confirmation that the case has been dropped.
- Microsoft now owns major IPs from Activision Blizzard, and notable franchises like Call of Duty continue to release on PS5 and PS4 formats.
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TechBullion
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Microsoft Adding Grok 3 to Azure Signals Shift in AI Strategy
- Microsoft has announced adding Grok 3, an LLM by Elon Musk's xAI, to Azure, signaling a strategic shift in their AI approach.
- The move to incorporate Grok 3 has implications for Microsoft's AI strategy, its relationship with OpenAI, and the broader AI competition among tech giants.
- Offering Grok 3 on Azure extends the platform's AI model diversity, presenting developers with more choices and aligning with Azure's flexible cloud service image.
- The partnership with xAI through Grok 3 introduction could be interpreted as a response to potential strain in the Microsoft-OpenAI alliance.
- By adding Grok 3, Microsoft aims to establish Azure as a prime destination for AI infrastructure and developer experimentation.
- This move signifies a broader shift towards interoperability and neutrality in AI platforms, catering to evolving developer and business needs.
- The inclusion of Grok 3 enhances xAI's credibility and visibility, leveraging Microsoft's extensive reach and professional image.
- Microsoft's strategic move with Grok 3 indicates a shift towards becoming a key player in enterprise AI infrastructure.
- The introduction of Grok 3 emphasizes Microsoft's aim to adapt and lead in a rapidly changing AI environment, challenging existing industry paradigms.
- By diversifying its AI offerings, Microsoft's incorporation of Grok 3 underscores its desire to influence the transformation of the AI landscape.
- This step suggests that Microsoft is positioning Azure as a hub for AI innovation and competition, highlighting their commitment to driving change in the AI domain.
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Analyticsindiamag
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Microsoft’s Aurora AI Model Sets New Standard for Weather Forecasting
- Microsoft developed Aurora, an AI model that sets a new standard for weather forecasting and environmental predictions.
- Aurora, trained on diverse atmospheric data, outperformed traditional models and previous AI systems in 91% of forecasting benchmarks.
- The AI model accurately predicted events like Typhoon Doksuri's landfall and a sandstorm in Iraq, showcasing its speed and accuracy.
- Aurora's high resolution and localized predictions offer improved forecasts, with applications in various sectors and potential global adaptation.
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Dbi-Services
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SQL Server 2025 – ZSTD – A new compression algorithm for backups
- SQL Server 2025 introduces a new compression algorithm for backups called ZSTD, alongside existing solutions MS_XPRESS and QAT.
- Tests were conducted using a virtual machine with Windows Server 2022 Datacenter and SQL Server 2025 Standard Developer for comparing MS_XPRESS and ZSTD.
- ZSTD can be implemented in SQL backup commands or changed at the instance level to enhance backup performance and reduce CPU load.
- Comparative analysis revealed that ZSTD offers faster backup creation, lower CPU load due to quicker backups, and reduced backup size, indicating its potential benefits.
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Arstechnica
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In 3.5 years, Notepad.exe has gone from “barely maintained” to “it writes for you”
- Notepad.exe, the built-in Windows text editor, has undergone significant updates over the past 3.5 years.
- Recent updates have focused on integrating generative AI capabilities into Notepad, allowing users to rewrite, summarize, and now write AI-generated text.
- Users need to be signed into a Microsoft Account to use these AI features in Notepad, and it requires the consumption of Microsoft's AI credits.
- Microsoft is gradually shifting towards integrating AI functionalities into various aspects of its products, including Notepad.
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Guardian
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FTC drops case over Microsoft’s $69bn Activision Blizzard acquisition
- The US Federal Trade Commission has dropped a case aimed at blocking Microsoft's $69 billion acquisition of Activision Blizzard, citing that pursuing the case against the closed deal was not in the public interest.
- FTC Chair Andrew Ferguson is focusing agency resources on cases aligning with the previous administration's agenda, such as investigating if advertisers colluded to spend less on X.
- Microsoft's president, Brad Smith, called the FTC's decision a victory for players and common sense, while Ferguson is discontinuing efforts initiated by predecessor Lina Khan, dropping a price discrimination case against PepsiCo on Thursday.
- The FTC lost an appeal to block the Microsoft-Activision deal, which closed in 2023, marking the largest-ever acquisition in the video gaming market, with concerns raised over potential anti-competitive implications for Xbox and Microsoft's gaming business.
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Arstechnica
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Why console makers can legally brick your game console
- Nintendo recently updated their EULA, stating the right to make Switch consoles unusable for hacking or piracy violations.
- Other console makers like Sony also have clauses in their agreements allowing them to disable systems for unauthorized activities.
- Sony's System Software License Agreement for PS5 provides a range of actions for violations, including disabling access to system software and network, among others.
- Similar clauses are present in PlayStation 4 and PlayStation 3 agreements, giving manufacturers legal rights to prevent unauthorized use of their systems.
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Krebsonsecurity
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Oops: DanaBot Malware Devs Infected Their Own PCs
- The U.S. government unsealed criminal charges against 16 individuals accused of operating and selling DanaBot, a malware specializing in credential theft and banking fraud.
- DanaBot's newer version was used for espionage, with the defendants accidentally infecting their own systems with the malware, exposing their real identities.
- The malware infected over 300,000 systems globally, leading to estimated losses of more than $50 million; the ringleaders are named as Aleksandr Stepanov and Artem Aleksandrovich Kalinkin.
- The FBI seized servers used by DanaBot authors in 2022, and industry partners are assisting in notifying victims and remediating infections.
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The Verge
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FTC drops case against Microsoft’s Activision Blizzard deal
- The Federal Trade Commission (FTC) has dropped its case against Microsoft's acquisition of Activision Blizzard, filing an order to dismiss its complaint.
- This decision comes after the FTC lost an appeal for a preliminary injunction to prevent Microsoft from finalizing the $68.7 billion deal.
- Microsoft had originally sought the acquisition nearly two years ago, and the deal was completed in October 2023 after winning the FTC fight.
- Microsoft's vice chair and president, Brad Smith, sees this as a victory for players and common sense in Washington, D.C., expressing gratitude towards the FTC for the decision.
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Arstechnica
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Musk’s DOGE used Meta’s Llama 2—not Grok—for gov’t slashing, report says
- An outdated Meta AI model, Llama 2, was used by affiliates of Elon Musk's DOGE in the Office of Personnel Management to review and classify responses from federal workers.
- The model was utilized to analyze the reactions to the 'Fork in the Road' email, a controversial message offering federal workers the choice to comply with a return-to-office policy or resign, similar to a memo Musk sent to Twitter employees.
- Rumors about DOGE inputting government employee data into AI were confirmed when Wired found records revealing the use of the Llama 2 model to assess the number of resignations among federal employees.
- The Office of Personnel Management's initial attempt to streamline the federal government involved employing the Meta AI model Llama 2 for data analysis, according to reports.
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Insider
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Legaltech unicorn Harvey has agreed to spend $150 million on Azure over two years, an internal memo shows
- Legaltech startup Harvey has committed to a two-year, $150 million agreement to use Azure cloud services.
- Harvey, known for building software for lawyers, has been partnered with Microsoft since early 2024.
- The startup is expanding by working with clients like Comcast and Verizon and integrating new foundation models.
- The $150 million Azure commitment shows Harvey's continued reliance on Microsoft for its cloud services amidst its growth in the legaltech sector.
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