The AI Industry Has a $98 Billion Problem. It Lives in Zoning.
Local opposition halted $98 billion in U.S. data center projects in Q2 2025. With 50+ groups active in 17 states, zoning is now AI's binding constraint.
While the AI industry chases reinforcement learning, Essential AI made the opposite bet. Their new 8B model embodies a thesis about where machine intelligence originates. The transformer's co-inventor is calling the shots on research.
OpenRouter's 100 trillion token study was supposed to prove AI is transforming everything. The data shows something else: half of open-source usage is roleplay, enterprise adoption is thin, and one account caused a 20-point spike in the metrics.
OpenAI has 800 million users. Only 5% pay. The company is bleeding billions quarterly while chasing a subscriber base ten times larger than Netflix just to break even. Now ads look inevitable—and user trust hangs in the balance.
Hugging Face's Skills tool lets Claude fine-tune competing models for thirty cents. A 7B parameter cap and subscription fees complicate the democratization pitch. The deeper issue: access to a button isn't access to understanding.
Google's Workspace Studio promises AI agents for everyone, no coding required. But the real story isn't about capability. It's about distribution. And why enterprises still can't get employees to actually use the AI tools they've already paid for.
Three years ago, Google panicked over ChatGPT. Now OpenAI declares 'code red' to fix its product while shelving the ad revenue it desperately needs. The structural advantages have flipped.
Meta is talking to Google about buying TPUs. Wall Street panicked. But the real story isn't supplier defection—it's ecosystem politics, negotiating leverage, and the complicated game every AI company plays when chips are this scarce.
Trump's Genesis Mission invokes Manhattan Project urgency to accelerate AI-driven science. But the executive order commits zero new dollars, claims credit for existing partnerships, and arrives while university research funding gets slashed.
OpenAI paid $6.5 billion for Jony Ive's hardware startup but can't explain what they're building. The former Apple designer now advocates for lickable AI devices while studying the history of pockets.
Google kept AI Mode ad-free for a year to compete with ChatGPT. Last week, ads appeared. The retreat reveals more than monetization strategy—it shows Google's $175B advertising business makes competing structurally impossible.
OpenAI's Codex-Max cuts tokens 30%, runs 42% faster. But compaction's opacity, Windows optimization signaling Microsoft alignment, and API delays reveal infrastructure gaps. Efficiency gains mask cost pressure in competitive squeeze.
Google claims Gemini 3 delivers PhD-level reasoning. The fine print admits 72% accuracy and minute-plus generation times. Early testing reveals graduate-student errors. OpenAI's GPT-5 disaster opened the door, but can Google's benchmarks justify $7T spending?
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