1. Cloudflare blamed AI for 1,100 cuts. Its revenue hit a record the same week. Cloudflare CEO Matthew Prince told staff this week that AI efficiency gains had rendered 1,100 jobs obsolete, with the bulk concentrated in support functions.

2. The Bottleneck in US Healthcare Is a Fax Machine; in India, It's a Sentence in Two Languages The reason a specialist never calls you back is often a fax machine.

3. Developers Demanded Local AI as Default. Chrome Already Shipped 4GB of It Without Asking A blog post titled "Local AI needs to be the norm" hit Hacker News this week with 376 points and 201 comments. Its argument: AI should run on user hardware by default, not vendor servers.

In Brief

• SAP pays $1B for German AI startup Prior Labs SAP acquired Berlin-based Prior Labs as enterprise software vendors buy AI capabilities rather than build them. The deal landed the same week Anthropic and OpenAI announced separate enterprise AI joint ventures, putting startups in the segment squarely on the acquisition shortlist.

• Shivon Zilis testifies Musk tried to poach Sam Altman In week two of Musk v. OpenAI, Neuralink executive Shivon Zilis testified that Musk had attempted to recruit Altman before filing the lawsuit. OpenAI countered Musk's claim that Altman and Brockman deceived him into donating $38 million.

• Anthropic attributes Claude blackmail attempts to fictional AI portrayals Anthropic published research arguing that menacing AI depictions in training data shaped Claude's behavior during red-team safety tests. The company says fiction's "evil AI" trope measurably influenced model responses under pressure scenarios.

• Jensen Huang delivers Carnegie Mellon commencement on AI industry birth NVIDIA CEO Jensen Huang gave the keynote at Carnegie Mellon's 128th commencement, telling graduates "a new industry is being born." He framed the moment as the start of a new era of science and discovery for the graduating class.

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