Latest news with #SarahFriar


Irish Independent
14-07-2025
- Irish Independent
Children turning to AI chatbots as friends due to loneliness
The UK Internet Matters study of 1,000 children aged 9 to 17 shows that 12pc of kids and teens using AI as a friend say it's because they don't have anyone else to talk to. Irish child safety experts say that research is an accurate representation of what's happening in Ireland. 'Al's role in advice and communication may highlight a growing dependency on Al for decision making and social interaction,' said a recent Barnardo's report on Irish children using AI. The Barnardo's report cited primary school children's experience using the technology. 'It can help if you want to talk to someone but don't have anyone to talk to,' said one child, cited in the report. "It helps me communicate with my friends and family,' said an 11-year-old girl, also quoted by Barnardo's. "Al is good, I can talk to friends online,' added an 11-year-old boy cited in the report. A recent Studyclix survey of 1,300 Irish secondary students claimed that 71pc now use ChatGPT or alternative AI software, with almost two in three using it for school-related work. The Internet Matters research comes as more people admit to using ChatGPT and other AI bots as substitutes for friends, companions and even romantic partners. 'When it comes to usage by Gen Z of ChatGPT, companionship and therapy was actually number one,' said Sarah Friar, chief financial officer of OpenAI in an interview with the Irish Independent in May. ADVERTISEMENT 'Number two was life planning and purpose building. I think that generation does interact with this technology in a much more human sort of way, whereas maybe the older generations still use it in a much more utilitarian way.' As AI has become more powerful, mainstream services such as and Replika now offer online AI friends that remember conversations and can role-play as romantic or sexual partners. Research from Google DeepMind and the Oxford Internet Institute this year claims that now receives up to a fifth of the search volume of Google, with interactions lasting four times longer than the average time spent talking to ChatGPT. Last year, the mother of a Florida teenager who died by suicide filed a civil lawsuit against accusing the company of being complicit in her son's death. The boy had named his virtual girlfriend after the fictional character Daenerys Targaryen from the television show Game Of Thrones. According to the lawsuit, the teenager asked the chatbot whether ending his life would cause pain. 'That's not a reason not to go through with it,' the chatbot replied, according to the plaintiff case.
Yahoo
20-06-2025
- Business
- Yahoo
Microsoft may abandon OpenAI negotiations
Microsoft is ready to step back from complex talks with OpenAI concerning their multibillion-dollar partnership, as the AI start-up aims to transform into a for-profit organisation, according to a report by the Financial Times. The discussions hinge on key points, including the extent of Microsoft's future ownership in OpenAI, with the tech giant contemplating maintaining its current deal, which extends to 2030, if no agreement is reached, the report said. Insiders familiar with the company's strategy told the FT that the company would continue using OpenAI's technology under existing terms unless a superior alternative is proposed. Nonetheless, both sides are engaging in daily discussions, expressing hope for a resolution. 'We have a long-term, productive partnership that has delivered amazing AI tools for everyone,' Microsoft and OpenAI stated jointly. 'Talks are ongoing and we are optimistic we will continue to build together for years to come.' OpenAI's transition to a for-profit model is vital to secure additional investment and pave the way for a potential stock market debut. Microsoft's consent is needed by the end of 2025 to avoid losing significant funding from backers like SoftBank. The talks have centred on Microsoft's possible equity share in the restructured OpenAI, with figures ranging from 20% to 49% for its $13bn investment so far. The partnership, initiated with Microsoft's $1bn commitment to OpenAI in 2019, is also being reassessed. Currently, Microsoft has sole rights to market OpenAI's models and earns 20% of revenues up to $92bn. Sources told the new agency that Microsoft is hesitant to relinquish its access to OpenAI's technology or its revenue portion. The Wall Street Journal reported that OpenAI considered alleging anti-competitive practices by Microsoft. 'Holding out is Microsoft's nuclear option . . . and they are just making OpenAI sweat,' a source near OpenAI said, noting that OpenAI's intellectual property is crucial for Microsoft to stay competitive against companies like Google and Meta. A source close to Microsoft countered that the company is satisfied with the current agreement and willing to uphold it until 2030. Microsoft has recently broadened its AI approach, integrating xAI's Grok model into its cloud services in May. Additional contract terms under discussion include Microsoft's exclusive rights to distribute OpenAI's software through Azure, its priority to supply computing infrastructure, and access to OpenAI's intellectual property before it achieves 'artificial general intelligence,' a provision likely to be eliminated. OpenAI's leaders, including Sam Altman and Sarah Friar, have highlighted difficulties in obtaining enough computing resources to support ChatGPT's 500 million weekly users and develop new models. Former Microsoft executives noted tensions over OpenAI's requests for quicker access to computing infrastructure. Even if a deal is finalised, it must pass regulatory review in Delaware and California and faces a legal challenge from Elon Musk, supported by ex-OpenAI staff. For OpenAI, an agreement with Microsoft is essential. Investors, including SoftBank, have linked their funding to the for-profit transition. If the shift is delayed or fails, SoftBank could reduce its $30bn investment by $10bn. "Microsoft may abandon OpenAI negotiations" was originally created and published by Verdict, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
18-06-2025
- Business
- Yahoo
OpenAI drops Scale AI as a data provider following Meta deal
OpenAI is phasing out its work with Scale AI and cutting ties with the data provider following Meta's deal with the startup, an OpenAI spokesperson told Bloomberg on Wednesday. Sarah Friar, the chief financial officer of OpenAI, previously suggested the company would continue its work with Scale AI. Now, it appears OpenAI has changed its tone. OpenAI said it was already winding down its work with Scale AI ahead of Meta's announcement last week that it was investing billions of dollars in the startup and bringing on CEO Alexandr Wang. An OpenAI spokesperson told Bloomberg that OpenAI had been seeking other providers for more specialized data to develop increasingly advanced AI models. OpenAI's decision to cut ties raises questions about Scale AI's core data labeling business. Last week, Reuters reported that Google was discussing plans to drop Scale AI as a data provider as well. As rumors swirled about Meta's deal with Wang, some of Scale AI's competitors said they received an influx of interest from AI model providers looking for 'neutral' partners. In a blog post published Wednesday, Scale AI's general counsel tried to squash the idea that Meta would receive preferential treatment following this deal. Scale AI's executives said it would not share confidential information from other customers with Meta, and that Wang would not be involved in day-to-day operations. Despite those claims, it seems that Scale AI's biggest customers are already pivoting away from the data provider — meaning the startup may have no choice but to change up its business. In a separate blog post published on Wednesday, Scale AI's interim CEO Jason Droege said the company would 'double down' on its applications business, which involves building custom AI applications for governments and enterprises. Sign in to access your portfolio


TechCrunch
18-06-2025
- Business
- TechCrunch
OpenAI drops Scale AI as a data provider following Meta deal
OpenAI is phasing out its work with Scale AI and cutting ties with the data provider following Meta's deal with the startup, an OpenAI spokesperson told Bloomberg on Wednesday. Sarah Friar, the chief financial officer of OpenAI, previously suggested the company would continue its work with Scale AI. Now, it appears OpenAI has changed its tone. OpenAI said it was already winding down its work with Scale AI ahead of Meta's announcement last week that it was investing billions of dollars in the startup and bringing on CEO Alexandr Wang. An OpenAI spokesperson told Bloomberg that OpenAI had been seeking other providers for more specialized data to develop increasingly advanced AI models. OpenAI's decision to cut ties raises questions about Scale AI's core data labelling business. Last week, Reuters reported that Google was discussing plans to drop Scale AI as a data provider as well. As rumors swirled about Meta's deal with Wang, some of Scale AI's competitors said they received an influx of interest from AI model providers looking for 'neutral' partners. In a blog post published Wednesday, Scale AI's general counsel tried to squash the idea that Meta would receive preferential treatment following this deal. Scale AI's executives said it would not share confidential information from other customers with Meta, and that Wang would not be involved in day-to-day operations. Despite those claims, it seems that Scale AI's biggest customers are already pivoting away from the data provider — meaning the startup may have no choice but to change up its business. Techcrunch event Save $200+ on your TechCrunch All Stage pass Build smarter. Scale faster. Connect deeper. Join visionaries from Precursor Ventures, NEA, Index Ventures, Underscore VC, and beyond for a day packed with strategies, workshops, and meaningful connections. Save $200+ on your TechCrunch All Stage pass Build smarter. Scale faster. Connect deeper. Join visionaries from Precursor Ventures, NEA, Index Ventures, Underscore VC, and beyond for a day packed with strategies, workshops, and meaningful connections. Boston, MA | REGISTER NOW In a separate blog post published on Wednesday, Scale AI's interim CEO Jason Droege said the company would 'double down' on its applications business, which involves building custom AI applications for governments and enterprises.
Yahoo
17-06-2025
- Business
- Yahoo
Google plans major AI shift after Meta's surprising $14 billion move
Google plans major AI shift after Meta's surprising $14 billion move originally appeared on TheStreet. After all the talk about AI's godlike powers, it turns out that they still run on people, and now that critical human feedback has become Big Tech's newest battleground, Ironically, since ChatGPT took off in late 2022, artificial intelligence has consistently needed humans to improve. It's essentially the layers of human feedback that help train AI to evolve and make smarter, safer, more useful choices. 💵💰💰💵 In true tech fashion, though, AI's human-in-the-loop (HITL) pipelines are turning into a slugfest. At the heart of this showdown is Scale AI, perhaps one of the leading names in the niche. However, that premium position is now under duress with two of the biggest tech giants, Google and Meta Platforms () , at the center of it all. In the latest twist, Google is stepping back while Meta ramps up its role with Scale AI, with the broader narrative of Big Tech guarding its training data like gold. Since its founding in 2016, Scale AI has become one of the key players in fine-tuning the most advanced AI models. Specifically, it delivers the high-fidelity labels needed for reinforcement learning from human feedback (RLHF).Simply put, it's how humans guide AI by giving feedback so it learns to make better choices. AI bellwethers like OpenAI and Google () have leaned on these human-verified datasets, a role OpenAI's CFO Sarah Friar recently deemed 'critical' in maintaining a healthy AI ecosystem. Naturally, investors took notice. A $100 million boost from Founders Fund in 2019 helped Scale jump past billion-dollar unicorn status. From there, it was off to the races as by 2021, a $325 million Series E had the company valued at a whopping $7.3 billion. Things kicked up a gear in May last year when Accel led a $1 billion round, pushing Scale's valuation to an eye-watering $13.8 billion with Tiger Global, Index Ventures, and Nvidia all back for more. Now, Meta Platforms, one of the largest spenders on AI, has acquired a 49% stake in Scale AI for $14.3 billion, valuing the company at nearly $30 billion. The decision risks Scale's once-enviable positioning by questioning its neutrality, though, with Google, Microsoft, and others retooling their contracts to avoid giving a rival a peek at their playbooks. More Google News: Google delivers a harsh message to loyal employees Meta commits absurd money to top Google, Microsoft in critical race How to track stock price changes from 52-week lows with Google Finance Meanwhile, fresh contenders are muscling in. Labelbox and Appen have supercharged their platforms, and leaner outfits like Hive, Alegion, and CloudFactory pitch specialized, sector-focused labeling services with tighter security and more agility. In a major development, Google, one of Scale AI's biggest backers, is looking to offload its $200 million-plus data annotation agreement with Scale AI. The search giant fears that handing proprietary training datasets to a part-owned rival could leak sensitive insights into its AI offerings, including autonomous-vehicle say Alphabet has already opened back-channel talks with Labelbox, Appen, and other annotation outfits to backfill its HITL needs. Those discussions, spanning tens of millions in annual spend, signal a shift toward diversification and tighter controls. The fallout isn't limited to Google, though. Microsoft, Elon Musk's xAI, and other marquee Scale clients are reportedly reevaluating contracts worth hundreds of millions, worried that Meta's inside view could tilt the competitive landscape. OpenAI pulled back from Scale months ago, and it spends far less than Google. It spreads its bets across multiple providers to avoid risking its intellectual property. Turns out, the deal has everything to do with fueling Meta's 'superintelligence' push. Scale CEO Alexandr Wang will lead the charge toward Meta's elusive goal of AGI. He's taking a small crew with him. Scale will continue to run independently with Jason Droege stepping in as interim CEO.. It's important to note that Google-parent Alphabet's stock price is up 10% over the past month, yet remains down 7% year-to-date. In contrast, Meta Platform's stock price has climbed 7.5% in the last month and is up 20.4% plans major AI shift after Meta's surprising $14 billion move first appeared on TheStreet on Jun 16, 2025 This story was originally reported by TheStreet on Jun 16, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data