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Pre-Product AI 'Company' Now Valued at $30 Billion

2 months 3 weeks ago
Financial Times: Venture capitalists have always been happy to back pre-profit companies. Back in the halcyon ZIRP era, they became happy to finance pre-revenue companies. But at least even Juicero, Wag and the Fyre Festival had an actual product. From Bloomberg over the weekend: "OpenAI co-founder Ilya Sutskever is raising more than $1 billion for his start-up at a valuation of over $30 billion, according to a person familiar with the matter -- vaulting the nascent venture into the ranks of the world's most valuable private technology companies. Greenoaks Capital Partners, a San Francisco-based venture capital firm, is leading the deal for the start-up, Safe Superintelligence, and plans to invest $500 million, said the person, who asked not to be identified discussing private information. Greenoaks is also an investor in AI companies Scale AI and Databricks. The round marks a significant valuation jump from the $5 billion that Sutskever's company was worth before, according to Reuters, which earlier reported some details of the new funding. The financing talks are ongoing and the details could still change." OK, so a jump from a $5bn valuation less than half a year ago to $30bn must mean that Safe Superintelligence has an absolutely killer product right? SSI focuses on developing safe AI systems. It isn't generating revenue yet and doesn't intend to sell AI products in the near future. "This company is special in that its first product will be the safe superintelligence, and it will not do anything else up until then," Sutskever told Bloomberg in June. "It will be fully insulated from the outside pressures of having to deal with a large and complicated product and having to be stuck in a competitive rat race."

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Google To Eliminate SMS Authentication in Gmail, Implement QR Codes

2 months 3 weeks ago
Google is preparing to abandon SMS verification codes for Gmail authentication in favor of QR codes, Gmail spokesperson Ross Richendrfer told Forbes. The move aims to address significant security vulnerabilities inherent in SMS-based verification while combating fraudulent exploitation of Google's messaging infrastructure, he said. "Just like we want to move past passwords with the use of things like passkeys, we want to move away from sending SMS messages for authentication," Richendrfer said. The transition will target "rampant, global SMS abuse" that undermines security and enables criminal schemes. SMS verification currently serves dual purposes at Google: confirming user identity and preventing service abuse. However, these codes are vulnerable to phishing, dependent on carrier security practices, and frequently exploited in "traffic pumping" scams where fraudsters profit from artificially triggered SMS messages. The forthcoming implementation will display QR codes that users scan with their phone cameras instead of entering six-digit codes. This approach eliminates shareable verification codes and reduces dependency on telecom carriers. The changes will roll out "over the next few months," the company said.

Read more of this story at Slashdot.

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