August 5, 2025 News

OpenAI Partners with AWS to Offer Models on Amazon Cloud Services for First Time

OpenAI has announced a partnership with Amazon Web Services to make its new open-weight reasoning models available on AWS platforms like Bedrock and SageMaker AI for the first time. This strategic move allows AWS to compete more directly with Microsoft Azure in the AI cloud services market, while giving OpenAI leverage in renegotiating its strained relationship with Microsoft. The partnership enables AWS enterprise customers to easily access and experiment with OpenAI's high-performing models through Amazon's cloud infrastructure.

OpenAI Releases First Open-Weight Reasoning Models in Over Five Years

OpenAI launched two open-weight AI reasoning models (gpt-oss-120b and gpt-oss-20b) with capabilities similar to its o-series, marking the company's first open model release since GPT-2 over five years ago. The models outperform competing open models from Chinese labs like DeepSeek on several benchmarks but have significantly higher hallucination rates than OpenAI's proprietary models. This strategic shift toward open-source development comes amid competitive pressure from Chinese AI labs and encouragement from the Trump Administration to promote American AI values globally.

EU AI Act Becomes World's First Comprehensive AI Regulation with Staggered Implementation Timeline

The European Union's AI Act, described as the world's first comprehensive AI law, has begun its staggered implementation starting August 2024, with key provisions taking effect through 2026-2027. The regulation uses a risk-based approach to govern AI systems, applying to both EU and foreign companies, with penalties up to €35 million or 7% of global turnover for violations. Major AI companies like Meta have refused to sign voluntary compliance codes, while others like Google have signed despite expressing concerns about slowing AI development in Europe.

Trump Administration Plans Semiconductor Tariffs While Reconsidering AI Chip Export Restrictions

President Trump announced plans to impose tariffs on semiconductors and chips as early as next week, though specific details remain unclear. This comes as the administration debates whether to maintain or replace Biden's AI chip export restrictions, creating uncertainty for U.S. hardware and AI companies. The semiconductor industry continues facing challenges with domestic manufacturing scaling, despite progress from the CHIPs Act funding.

DeepMind Unveils Genie 3 World Model as Critical Step Toward AGI

Google DeepMind has revealed Genie 3, a real-time interactive world model that can generate physically consistent 3D environments from text prompts for training AI agents. The model represents a significant advancement over its predecessor, generating minutes of coherent simulations at 720p resolution while maintaining temporal consistency through emergent memory capabilities. DeepMind researchers position Genie 3 as a crucial stepping stone toward AGI by providing an ideal training ground for general-purpose embodied agents.

Major AI Companies Approved as Federal Government Vendors Under New Contracting Framework

The U.S. government has approved Google, OpenAI, and Anthropic as official AI service vendors for civilian federal agencies through a new contracting platform called Multiple Awards Schedule (MSA). This development follows Trump administration executive orders promoting AI development and requiring federal AI tools to be "free from ideological bias."