AI Insider’s Week in Review: Microsoft Sees AI Growth and Eyes Quantum, Spotify Shifts to AI, OpenAI Launches Study Mode, Plus Big Research Investment by NFS, China’s AI Governance Proposal and the Latest in Funding Rounds

AI momentum continues to build across industry, research, and policy this week, with major players making moves in generative tools, quantum computing, robotics, and regulation. From Microsoft and Meta to NSF and China, explore how AI is reshaping global strategy, corporate products, and the future of scientific discovery.

Industry & Enterprise

Microsoft Leans Into AI Momentum, Quietly Prepares for Quantum

Microsoft reported strong AI-driven growth in Q4 2025, with rapid expansion of Azure AI services and over 100 million monthly users across its Copilot apps. The company also signaled quantum computing as its next strategic focus, deploying a Level 2 quantum computer and upgrading Azure infrastructure to support future quantum workloads. (AI Insider)

Spotify Signals Shift Toward Conversational AI with Plans for More Interactive User Experience

Spotify plans to expand its use of generative AI to create a more conversational and intelligent user interface, building on the success of its AI DJ feature. Despite missing revenue targets last quarter, the company is leaning on AI to drive innovation in both user experience and internal operations. (AI Insider)

OpenAI Launches Study Mode in ChatGPT to Promote Critical Thinking in Student Learning

OpenAI has launched Study Mode in ChatGPT, a feature designed to promote active learning by encouraging student reflection and delaying direct answers until understanding is demonstrated. Aimed at making AI a responsible educational tool, the rollout spans all user tiers and will soon reach school-wide Edu plans amid growing concerns about AI’s role in academic integrity and critical thinking. (AI Insider)

Meta Bets on AI Glasses as the Future of Computing, Despite Heavy Reality Labs Losses

Meta CEO Mark Zuckerberg reaffirmed his belief that AI-integrated eyewear will become the dominant interface for everyday computing, positioning smart glasses as essential to avoiding a future cognitive gap. Despite continued losses in Reality Labs, Meta is doubling down on glasses as the hub for AI, AR, and the Metaverse, with new models featuring immersive displays on the horizon. (AI Insider)

Skild AI Says It Has Created AI Capable of Controlling Any Type of Robot

Skild AI is developing a general-purpose robotics brain, the Skild Brain, designed to control a wide range of machines through a unified model it calls “omni-bodied intelligence.” Trained on simulations, internet video, and limited real-world data, the system aims to replace task-specific models with a scalable foundation capable of adaptive, cross-platform behavior. (AI Insider)

Research & Innovation

NSF Announces $100 million Investment in National Artificial Intelligence Research Institutes Awards to Secure American Leadership in AI

The U.S. National Science Foundation, alongside Intel and Capital One, is investing $100 million in five new AI research institutes and a central hub to address challenges like drug discovery, STEM education, and human-AI collaboration. Backed by the White House AI Action Plan, the initiative aims to expand national AI infrastructure and accelerate public-private innovation across sectors. (AI Insider)

AI-Built ‘Scientists’ Collaborate in ‘Virtual Lab’ to Tackle Complex Biomedical Research Questions

Researchers at CZ Biohub San Francisco and Stanford have developed a Virtual Lab powered by AI agents that collaborate like a research team to solve complex biomedical problems. Demonstrated by its success designing new COVID-19 Nanobodies, the system represents a shift toward AI-led scientific discovery, with human oversight ensuring rigor and validation. (AI Insider )

CZ Biohub San Francisco scientists (from left) Wesley Wu, Nash Bulaong, and John Pak, contributed to the Virtual Lab paper. (Credit: Julie Chao, CZ Biohub)

Policy & Governance

China Proposes Global AI Cooperation Body, Positioning Shanghai as a Potential Hub

China has proposed forming a new international organization for AI governance, positioning it as an inclusive alternative to U.S.-led initiatives and calling for shared global development based in Shanghai. Unveiled at the World Artificial Intelligence Conference, the plan emphasizes open collaboration, support for the Global South, and countering monopolization of AI by a few dominant powers. (AI Insider)

Startups & Capital

Anthropic Targets $5B Funding Round with $170B Valuation as AI Demand Surges

Anthropic is reportedly finalizing a funding round of up to $5 billion led by Iconiq Capital, which would raise its valuation to around $170 billion and nearly triple its worth since March. As it races to fund AI development and infrastructure, the company faces internal concerns over potential backing from authoritarian-linked sovereign wealth funds. (AI Insider)

Ramp Closes $500M in Funding to Accelerate AI-Powered Automation in Corporate Finance

Ramp has raised $700 million in under two months, bringing its valuation to $22.5 billion and fueling rapid expansion of AI agents across corporate finance. The latest $500 million round, announced just 45 days after a $200 million raise, is aimed at speeding up the adoption of AI agents across expense management, travel, procurement, and accounting. (AI Insider)

LegalOn Closes $50M Series E Led by Goldman Sachs

LegalOn Technologies has raised $50 million in Series E funding led by Goldman Sachs to grow its AI-driven contract review tools and expand in the U.S., U.K., and Japan. The company, now collaborating with OpenAI, serves over 7,000 customers and aims to enhance legal workflows by combining legal expertise with advanced language models. (AI Insider)

Observe Closes $156 Million Series C as Enterprises Shift to AI-Powered Observability at Scale

Observe Inc. has raised $156 million in Series C funding to scale its AI-powered observability platform, which helps enterprises monitor and troubleshoot complex systems more efficiently. Fueled by demand for scalable data lake architectures and AI-enhanced workflows, the company tripled revenue and users while doubling its enterprise customer base.(AI Insider)

Sawt Raises $1M to Scale Arabic AI Voice Platform for Customer Support in the Middle East

Saudi-based startup Sawt has raised $1 million in pre-seed funding to scale its Arabic-native AI voice platform, which replaces traditional call centers with natural-sounding, intelligent virtual agents. Backed by T2 and STV, the company aims to lead regional AI call automation as the GCC market nears $1.2 billion and Saudi Arabia advances its Vision 2030 goals. (AI Insider)

Greg Bock

Greg Bock is an award-winning investigative journalist with more than 25 years of experience in print, digital, and broadcast news. His reporting has spanned crime, politics, business and technology, earning multiple Keystone Awards and a Pennsylvania Association of Broadcasters honors. Through the Associated Press and Nexstar Media Group, his coverage has reached audiences across the United States.

Share this article:

AI Insider

Discover the future of AI technology with "AI Insider" - your go-to platform for industry data, market insights, and groundbreaking AI news

Subscribe today for the latest news about the AI landscape