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Stephen Van Tran
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The venture capital landscape continues its aggressive push into AI infrastructure with Databricks approaching a historic valuation milestone. Today’s digest covers major funding rounds, regulatory reversals, new product launches, and strategic acquisitions that signal the tech industry’s evolving priorities in the AI era.

Databricks Closes in on $100 Billion Valuation

Databricks is finalizing a $1 billion+ Series K funding round led by Thrive Capital, Insight Partners, and Andreessen Horowitz, pushing its valuation 61% higher to over $100 billion. The data analytics giant projects $3.7 billion in annualized revenue by July with 50% year-over-year growth and has been cash-flow positive since January. With 15,000 customers including Block, Shell, and Rivian, Databricks now rivals Snowflake’s $66 billion market cap, cementing its position as one of the world’s most valuable AI startups.

Meta Restructures AI Division into Superintelligence Labs

Meta has reorganized its AI division into four new groups under Meta Superintelligence Labs (MSL), with the centerpiece being TBD Labs led by chief AI officer Alexandr Wang. The new structure focuses on foundation models like Llama, with separate teams handling research, product integration, and infrastructure. This marks Meta’s latest attempt to streamline its AI operations and compete more effectively with OpenAI, Anthropic, and Google DeepMind in the race toward artificial general intelligence.

UK Abandons Apple Encryption Backdoor Demands

The UK government has dropped its controversial plan to mandate Apple create a backdoor into encrypted iCloud services following pressure from the Trump administration. The original “technical capability notice” would have given UK authorities access to global customer backups, prompting Apple to begin removing its Advanced Data Protection option for new UK users. The reversal came after US officials examined whether the demand violated the CLOUD Act by targeting data from persons located inside the United States.

Tesla Launches Extended Model Y L in China

Tesla has launched the Model Y L in China, a six-seater electric SUV with its wheelbase extended by nearly 8 inches for enhanced passenger comfort. The vehicle features retracting second-row armrests, ventilated front seats, and a 50W wireless phone charging system with air cooling to prevent overheating. Powered by an 82kWh battery and dual-motor All Wheel Drive system, the Model Y L delivers a claimed 751-kilometer CLTC range from a single charge.

Nvidia Develops More Powerful AI Chip for China Market

Nvidia is reportedly creating an AI chip for China, codenamed B30A, designed to be half as powerful as its flagship B300 Blackwell GPU but stronger than current exports. The new GPU features a single-die design, unlike the dual-die B300, and includes support for fast data transmission, NVLink, and high-bandwidth memory like existing H20 GPUs. Despite recent relaxation of export rules, government approval for the B30A remains uncertain as Nvidia aims to compete with domestic rivals like Huawei.

Canva Opens $42 Billion Employee Share Sale

Australian design platform Canva has opened an employee stock sale valuing the company at $42 billion, allowing staff to sell shares to both new and existing investors including Fidelity and JPMorgan’s asset management arm. Founded in 2013 and headquartered in Sydney, Canva serves more than 200 million monthly active users across 190 countries and reported $2.5 billion in annualized revenue last year, reflecting its continued global scale despite a slight increase from its 2021 peak valuation of $40 billion.

Arm Hires Amazon AI Chip Leader for Hardware Push

Arm has hired Rami Sinno, Amazon’s AI chip director who helped build Trainium and Inferentia, to strengthen its push into developing complete chips. The SoftBank-owned company, which traditionally licenses processor designs to firms like Apple and Nvidia, now plans to invest profits into building chiplets and full systems. Recent hires from HPE, Intel, and Qualcomm demonstrate Arm’s broader strategy to move beyond IP licensing and compete more directly in AI hardware development.

These developments underscore the tech industry’s massive capital deployment into AI infrastructure, evolving regulatory landscapes, and strategic talent acquisitions that will shape the competitive dynamics throughout 2025.