AI News

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12 Aug 202629 Safar 1448 AH

Former Qwen Tech Chief Lin Junyang Launches Pragmatik Labs with a Two-Billion-Dollar Valuation — and Pivots from Foundation Models to Agents

Lin Junyang, the former technical lead at Alibaba, has founded Pragmatik Labs in Shanghai with a $2 billion valuation at the angel investment stage. The funding round was co-led by Gaorong and HongShan, each contributing $100 million, while Tencent invested $20 million, and the Shanghai Future Industry Fund participated. Pragmatik Labs, known in Chinese as Yuyong Technology, focuses on developing digital and physical agent systems, emphasizing tool use and environmental interaction. No product has been announced yet, but the company aims to provide innovative solutions in the AI sector.

Arab AI Scene

12 Aug 202629 Safar 1448 AH

OpenAI now offers inference residency to UAE enterprise users

OpenAI has activated inference residency in the UAE, making it the first market in the MENA region to offer this service. This allows ChatGPT Enterprise and Edu customers to process their content entirely within the UAE, rather than just storing it there. Inference residency requires UAE data residency to be enabled, meaning all prompts and conversations are processed on GPUs located in the country. This is particularly significant for regulated sectors like finance and healthcare, where assurance that data processing remains domestic is crucial.

Arab AI Scene

12 Aug 202629 Safar 1448 AH

OpenAI expands Inference Residency to UAE

OpenAI has announced the availability of Inference Residency in the UAE, making it one of three global locations supported. This service will assist public and private institutions in the UAE to adopt AI while ensuring local compliance. The UAE Inference Residency allows organizations to use GPU inference engines within the country, enhancing data security and compliance. This announcement aligns with the UAE's National AI Strategy 2031, aimed at establishing the nation as a technology leader.

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AI to power Middle East’s next infrastructure leap amid trillion dollar investment gap

How can AI improve the management of infrastructure projects?

Business

Global Youth Unemployment Rate Rises Due to AI and Economic Weakness

12 Aug 202629 Safar 1448 AH

Business

12 Aug 202629 Safar 1448 AH

Global Youth Unemployment Rate Rises Due to AI and Economic Weakness

The International Labour Organization reported a rise in global youth unemployment to 12.4% in 2025, up from 12.3% in 2023, indicating a reversal of post-COVID-19 gains. Arab countries lead in youth unemployment rates at 26.2%, with North America seeing an increase to 9.8%. The report highlights a decline in medium-skilled job opportunities, intensifying pressure on young workers. Estimates suggest that 6.1% of youth jobs are at risk due to AI changes, potentially displacing 5.6 million young people. Meanwhile, youth in developing countries face limited options, often resorting to informal work lacking basic protections.

Agents

From assistance to execution: How enterprises put AI to work

12 Aug 202629 Safar 1448 AH

Agents

12 Aug 202629 Safar 1448 AH

From assistance to execution: How enterprises put AI to work

OpenAI's report reveals how enterprises are adopting agentic AI, particularly through the use of ChatGPT and Codex. The report highlights that leading companies are advancing in this area, indicating a significant shift in business strategies. The mechanisms involve using these intelligent systems to enhance efficiency and productivity, with data showing that firms leveraging agentic AI achieve better outcomes than their peers. This trend underscores the importance of AI in fostering innovation and developing smart solutions, enabling organizations to adapt to rapid market changes and gain a competitive edge.

Arab AI Scene

Saudi fund offers grants for AI in culture

12 Aug 202629 Safar 1448 AH

Arab AI Scene

12 Aug 202629 Safar 1448 AH

Saudi fund offers grants for AI in culture

Saudi Arabia's Cultural Development Fund has launched AI Incentives for Cultural Projects, offering grants up to SAR 500,000 ($133,000) to micro, small, and medium-sized cultural businesses adopting or developing AI technologies. This initiative is in partnership with the Ministry of Culture, the Quality of Life Program, and the Saudi Data and Artificial Intelligence Authority (SDAIA), with applications open until September 29, 2026. This grant track aligns with Saudi Arabia's designation of 2026 as the Year of AI, aiming to enhance the cultural sector's technological capabilities.

Business

NVIDIA AI Factory Compute Is Becoming an Investable Asset Class

12 Aug 202629 Safar 1448 AH

Business

12 Aug 202629 Safar 1448 AH

NVIDIA AI Factory Compute Is Becoming an Investable Asset Class

NVIDIA has announced partnerships with firms like BlackRock and Goldman Sachs to raise over $500 billion for AI infrastructure development. This marks a significant shift as AI moves from research to production, with AI factories becoming productive assets. NVIDIA's AI platforms serve as complete factories that include accelerated computing, networking, and software, allowing them to run a wide range of AI models. These factories can adapt to various customer needs, enhancing their market value and utility.

Business

How RingCentral builds AI-native work from engineering to ops

12 Aug 202629 Safar 1448 AH

Business

12 Aug 202629 Safar 1448 AH

How RingCentral builds AI-native work from engineering to ops

RingCentral has announced its use of ChatGPT and Codex to accelerate AI product development. This collaboration aims to enhance operational efficiency by integrating AI into engineering processes. This approach is expected to foster innovation and increase responsiveness to market demands. RingCentral leverages ChatGPT's data processing and analysis capabilities, facilitating quick decision-making. Additionally, the use of Codex aids in faster application development, reflecting the importance of AI in performance enhancement. This development comes at a time when reliance on AI technologies is increasing across various sectors.

Business

🔬The BioAI Phase Shift - Matthew McPartlon & Neil Patil, Chai Discovery

11 Aug 202628 Safar 1448 AH

Business

11 Aug 202628 Safar 1448 AH

🔬The BioAI Phase Shift - Matthew McPartlon & Neil Patil, Chai Discovery

In January, four major AI tools deals in the pharma sector were announced at the JPM conference in San Francisco. OpenAI-backed Chai Discovery was at the center of these deals, now valued at $4 billion despite being only two years old. The JPM conference is a significant annual event for pharma deal-making, attracting numerous companies to discuss partnerships and innovations. Recently, firms developing AI tools for pharma have started building their own drug pipelines, indicating a shift in how these tools are utilized.