We have talked at length this year about Intel’s efforts to turn the ship and add more profitability to the ledger. One of the crown jewels in that portfolio is the foundry business. It has been the recipient of a large amount of government funding through the CHIPS Act. But it is also playing catch up with TSMC and others. New broke yesterday that Intel has announced that the foundry business will be spun off into separate subsidiary entity. The new unit will have it’s own board and be free to seek outside funding, perhaps even going public at some point. Intel stock jumped 8% in after hours trading on the news. This follows a long string of changes for the company during Pat Gelsinger’s tenure.
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0:55 – OpenAI and o1
A new AI model from OpenAI, code-named “Strawberry” that can perform human-like reasoning tasks, could give it a temporary edge in a crowded field. But should humanity be happy? The o1 model series is designed to spend more time computing the answer before responding to user queries, though it can’t browse the web or analyze files yet. OpenAI, which is expected to announce a $6.5 billion round of funding any day, said the o1 series works best in math and coding.
Read More: OpenAI’s New Strawberry Model Can Think Like A Human
3:22 – Fortinet Suffers Data Breach (Again)
Fortinet is back in the news for yet another data breach. This time, attackers were able to nab about 440 GB of data from a misconfigured Azure Sharepoint server. The culprit, calling themselves “Forti – (B-word)” uploaded the data to Amazon and shared the credentials to an S3 bucket for verification. The attacker tried to extort money from the security firm but was rebuffed so they moved to next step. Fortinet has not confirmed the nature of the stolen files but has notified affected customers.
Read More: Fortinet confirms data breach after hacker claims to steal 440GB of files
6:18 – Salesforce, NVIDIA get together to develop AI-powered avatars.
The Jensen Huang world tour continues. This week, the leather jacketed AI guru had Marc Benioff open for him during Dreamforce 2024 where it was announced that Salesforce is the latest company to cozy up to the AI giant. The outcomes of all this new hardware? Autonomous agents and interactive avatars. The move is part of the larger AgentForce announcement from last week that has SalesForce gearing up to take on Microsoft.
Read More: Salesforce, NVIDIA Forge AI Alliance Over Autonomous Agents, Avatars
9:35 – Mastercard Acquires RecordedFuture
When you’re MasterCard, you have unlimited credit. So why not go shopping? In this case, the credit card giant is paying $2.65 billion for threat intelligence firm RecordedFuture. The two companies already have a robust partnership with RecordedFuture helping prevent credit card fraud. The current plan is to integrate fraud prevention and identity services together to provide more holistic threat intelligence, both for MasterCard customers as well as others in need of cybersecurity help.
Read More: Mastercard splurges $2.65B on another big cyber purchase – Recorded Future
12:17 – HPE Pursues $4 Billion in Damages
The saga of HPE and Autonomy isn’t quite finished yet. After a successful trial aagainst former CFO Sushovan Hussain back in Janaury, HPE is now seeking $4 billion in damages from Mike Lynch. You may pause at that statement because Lynch and five others were killed when their yacht sank in a freak storm. CEO Antonio Neri says that HPE has a fiduciary responsiblity to get that money back from the estate of Lynch. They are also seeking repayment of legal fees in the neighborhood of $50 million.
Read More: HPE CEO: ‘Best interest of shareholders’ to pursue $4B damages from Lynch estate
14:36 – Kubecost Acquired by IBM
IBM wants to keep a close eye on the bottom line for their customers, so they’re picking up Kubecost to make it happen. The startup helps people monitor their cloud spending by controlling and optimzing container usage. It helps avoid overprovisioning and also has API access to billing which means customers get up-to-the-minute pricing for their deployments. The acquisition is specifically targeting FinOps teams. With more on this story let’s go to our cloud expert Steven Dickens.
Read More: IBM Acquires Kubecost to Broaden Hybrid Cloud Cost Management Capabilities
18:56 – Intel Foundry Business To Become Subsidiary
We have talked at length this year about Intel’s efforts to turn the ship and add more profitability to the ledger. One of the crown jewels in that portfolio is the foundry business. It has been the recipient of a large amount of government funding through the CHIPS Act. But it is also playing catch up with TSMC and others. New broke yesterday that Intel has announced that the foundry business will be spun off into separate subsidiary entity. The new unit will have it’s own board and be free to seek outside funding, perhaps even going public at some point. Intel stock jumped 8% in after hours trading on the news. This follows a long string of changes for the company during Pat Gelsinger’s tenure.
Read More: Intel stock jumps on plan to turn foundry business into subsidiary and allow for outside funding
28:59 – The Weeks Ahead
Edge Field Day 3 – September 18 – 19
Networking Field Day Exclusive with Nokia – September 24
AI Data Infrastructure Field Day 1 – October 2 – 3
Gestalt IT and Tech Field Day are now part of The Futurum Group.
The Gestalt IT Rundown is your look at the IT news of the week. Be sure to subscribe to Gestalt IT on YouTube for even more weekly video content.
