Techmeme Ride Home - Episode Summary: Mon. 07/28 – Tea Has Been Spilt
Release Date: July 28, 2025
In this episode of Techmeme Ride Home, host Brian McCullough delivers a comprehensive overview of the day’s most impactful technology news. From monumental deals in the semiconductor industry to groundbreaking moves in artificial intelligence and unexpected challenges in the dating app sector, this episode covers it all.
1. Samsung and Tesla Forge Major Chip Deal [00:04]
Samsung has announced a substantial $16.5 billion chip fabrication contract with Tesla, set to last until the end of 2033. This partnership focuses on producing Tesla's next-generation AI6 chips at Samsung's Texas facility in Taylor.
Elon Musk emphasized the deal's significance on X (formerly Twitter), stating, "The strategic importance of this is hard to overstate," and described the contract value as "just the bare minimum," indicating potential for higher output ([00:04]).
The AI6 chips are intended to underpin Tesla's future driving hardware, succeeding the current AI4 systems. This marks Samsung's first major foundry contract following the clearance of its executive chairman J.Y. Lee from legal issues. Industry experts, including Vay Cern Ling of Union Bancare Prive, believe this deal will stabilize Samsung’s struggling foundry business by enhancing capacity utilization and attracting additional clients. Ryu Yong Ho, an analyst at NH Investment Securities, highlighted the long-term benefits, noting that while the contract may represent a modest annual revenue share, it serves as a catalyst for technological innovation and positions Samsung as a strong alternative to TSMC.
Despite Tesla facing skepticism about achieving scalable autonomous vehicles by late 2026, the chip deal underscores ongoing efforts to fortify its self-driving technology infrastructure.
2. US-China Tech Export Talks and H20 Chip Controversy
Amid ongoing trade negotiations, the US is reportedly freezing tech export curbs on China to facilitate a 2025 summit between President Trump and Chinese President Xi Jinping. According to sources cited by the Financial Times, the Commerce Department's Bureau of Industry and Security has been advised to avoid stringent measures that could derail trade talks.
A central issue is the Nvidia H20 chip, designed for the Chinese market. Initially slated for export restrictions under the Biden administration, Trump reversed this decision following lobbying efforts by Nvidia CEO Jensen Huang. The H20 chip is considered a potent enhancer of China's AI and military capabilities, outperforming even the H100 chip in executing AI functions.
Twenty security experts and former officials, including Matt Pottinger, former deputy national security adviser, have criticized the reversal. They argue that allowing the H20 chip undermines the US's economic and military edge in artificial intelligence. The experts have urged Commerce Secretary Howard Lutnick to reconsider, highlighting that the H20's advanced capabilities could significantly bolster China's autonomous weapon systems and intelligence platforms.
This situation exemplifies the delicate balance the US must maintain between fostering diplomatic relations and safeguarding its technological advancements.
3. Meta's Strategic AI Talent Acquisition [13:30]
Meta (formerly Facebook) is significantly expanding its artificial intelligence prowess by appointing Shengjia Zhao, a former OpenAI researcher and co-creator of ChatGPT, as the chief scientist at its newly established Superintelligence Lab. This strategic hire complements the existing leadership under Yann LeCun, Meta's chief AI scientist for the FAIR (Fundamental AI Research) lab.
According to TechCrunch, Zhao's appointment rounds out Meta's AI leadership team, which had been perceived as somewhat lacking with Alexander Wang at the helm. Zhao is renowned for pioneering breakthroughs in AI model scaling, including contributions to OpenAI's Reasoning Model 01. This aligns with Meta's ambition to develop competitive AI reasoning models and enhance its AI research capabilities.
Meta is also recruiting top-tier AI researchers from industry leaders like OpenAI, Google, DeepMind, Safe Superintelligence, Apple, and Anthropic. These additions aim to bolster Meta's existing AI divisions, including Generative AI Unit and FAIR. The formation of the Superintelligence Lab will leverage Meta's substantial 1 GW Prometheus cloud computing cluster in Ohio, enabling large-scale AI model training essential for developing frontier AI technologies.
Mark Zuckerberg highlighted Zhao's contributions, stating, "Shengjia Zhao has pioneered several breakthroughs, including a new scaling paradigm," underscoring the critical role Zhao will play in Meta's AI advancements.
4. PayPal Launches 'Pay with Crypto' for Merchants
PayPal has introduced its 'Pay with Crypto' feature, enabling merchants to accept cryptocurrencies such as Bitcoin, Ether, and USDT through integrations with wallets like Coinbase and OkX.
Frank Keller, General Manager of PayPal's Large Enterprise and Merchant Platform, explained in an interview with Bloomberg, "You have globally 650 million users that participate in the $3 trillion market for cryptocurrencies," highlighting the vast potential market for this feature.
Transactions made via 'Pay with Crypto' are automatically converted into fiat currency or PayPal's PyUSD stablecoin before being deposited into merchants' accounts. This service offers instant settlement at a competitive fee of 0.99% per transaction, significantly lower than traditional international payment fees, which can exceed 10%. Additionally, merchants opting to convert funds to PyUSD can earn approximately 4% on their balances.
Keller emphasized the strategic importance of this move, stating, "When PayPal turns it on, it creates trust." By embedding cryptocurrency transactions into its core payment infrastructure, PayPal aims to scale the feature and reinforce its long-term commitment to the crypto space, catering to growing consumer demand.
5. Anthropic in Negotiations for Major Funding Round
AI startup Anthropic is reportedly in discussions to raise between $3 billion and $5 billion, potentially increasing its valuation to approximately $150 billion. This marks a significant leap from its current valuation of $61.5 billion.
Sources indicate that Anthropic is seeking investments from Middle Eastern entities, particularly MGX, Abu Dhabi's extensive AI investment fund. Despite initial resistance from Anthropic's CEO Dario Amodei—who expressed concerns about enriching dictatorial regimes—the competitive landscape against rivals like OpenAI has led to a strategic pivot.
Anthropic is backed by major tech giants including Google and Amazon, with Amazon reportedly discussing further investments beyond its existing $8 billion commitment. In contrast, OpenAI has been valued at $300 billion earlier this year and is actively raising funds from investors led by SoftBank.
This potential funding round underscores the intense competition within the AI sector, with Anthropic aiming to secure its position alongside industry leaders by expanding its financial and strategic investments.
6. 'T' Dating App Faces Data Breach Amid Rapid Growth
The women-only safety-focused dating app 'T', which has amassed 4 million users, has suffered a significant data breach. Hackers accessed a database containing 72,000 images, including 13,000 verification photos and government IDs.
'T' differentiates itself by allowing users to anonymously assign red or green flags to local men based on their interactions, aiming to enhance safety and accountability within the dating ecosystem. The app gained rapid popularity, adding over 900,000 new signups in just a few days, leading to extended wait times for new users eager to join.
However, the surge in popularity was quickly overshadowed by the security incident. A spokesperson for T confirmed the breach, attributing the leaked data to information "originally stored in compliance with law enforcement requirements related to cyberbullying prevention." The company has since engaged third-party cybersecurity experts to bolster its defenses and prevent further data exposure.
The breach was exploited by users on 4chan, where a link was posted purportedly allowing downloads of the stolen images and IDs. While NBC News has not verified the authenticity of these photos, the incident has sparked significant backlash. Male users of the app have voiced fears of misrepresentation and doxxing, while others have raised concerns about potential cyberbullying beyond actual safety issues.
In response, some have proposed creating retaliatory apps, such as TBorn, a men-only version of T. However, TBorn faced immediate backlash for facilitating revenge porn and was swiftly removed from the App Store.
Despite assurances from T's creator, Sean Cook, about enhanced security measures and a commitment to user privacy, the incident has heightened concerns about data protection and the vulnerabilities of rapidly growing tech platforms.
Stay tuned for more updates and in-depth analyses on the latest in the tech world on the next episode of Techmeme Ride Home.