May 21, 2025 News

LM Arena Secures $100M Funding at $600M Valuation for AI Model Benchmarking Platform

LM Arena, the crowdsourced AI benchmarking organization that major AI labs use to test their models, raised $100 million in seed funding at a $600 million valuation. The round was led by Andreessen Horowitz and UC Investments, with participation from other major VCs. Founded in 2023 by UC Berkeley researchers, LM Arena has become central to AI industry evaluation despite recent accusations of helping labs game leaderboards.

OpenAI Acquires Jony Ive's Design Company for $6.5B, Aims to Create AI-Powered Consumer Devices

OpenAI has acquired io, a joint venture between CEO Sam Altman and former Apple designer Jony Ive, for $6.5 billion in an all-equity deal. Ive will lead creative and design work at OpenAI, focusing on developing AI-powered consumer devices that move beyond traditional screens. The collaboration aims to create a new generation of AI computers, with Ive's team of 55 specialists joining OpenAI while he retains control of his independent design firm LoveFrom.

Google Transitions from Traditional Search to AI Agent-Mediated Web Interaction

Google I/O 2025 marked a fundamental shift from traditional search to AI agent-mediated web interaction, with AI Mode now available to all US users. The company is deploying multiple autonomous agents that browse, summarize, and shop on behalf of users, potentially disrupting the ad-supported internet model.