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The money is moving faster than the models. Microsoft just turned a $13B deposit on OpenAI into a stake pegged near $150B. The UK lined up $39B to wire its AI economy, Alibaba tapped markets for $3.2B, and Figure AI grabbed $1B to scale humanoids. If you’re planning 2026 budgets, this is your new weather report.
📌 In today’s Generative AI Newsletter:
Microsoft x OpenAI $13B stake now valued ~$150B
UK locks in $39B from Microsoft, Google, NVIDIA
Alibaba leads China raises with $3.2B converts
Figure AI nets $1B to scale humanoid robots
Special highlight from our network
🛡️ When the AI Is Polite, But Dangerous
Not all threats come loud and broken. Some arrive in a friendly tone.
Vibe Hacking is emerging as a new GenAI risk, where subtle shifts in phrasing, tone, or emotional cues influence model behaviour and outcomes, often slipping past conventional filters unnoticed.
At Tumeryk, they’re actively exploring ways to help enterprises:
Monitor tone and intent in real time
Simulate emotional manipulation through red teaming
Quantify emerging risks with dynamic AI Trust Scores™
These aren’t typical compliance risks, but they’re real.
Explore how Tumeryk helps enterprises stay ahead of invisible threats.
💸 Microsoft's $13B OpenAI Investment Now Worth $150B.
Image Credit: Bullfrag
What began as a $1B check in 2019 has turned into one of Silicon Valley’s most profitable partnerships. Microsoft’s early deal with OpenAI, structured around profit-sharing rights and Azure credits, has grown into an equity stake now valued at roughly $150B, a return that rivals YouTube and Instagram in speed and scale.
How the deal unfolded:
Nonprofit origins: Microsoft’s initial funding gave OpenAI resources while it was still a nonprofit, in exchange for profit-sharing rights and Azure commitments.
The ChatGPT effect: The chatbot’s rise triggered OpenAI’s shift to a for-profit structure, giving Microsoft a direct equity stake.
$13B invested: Microsoft has since expanded its backing, integrating OpenAI’s models across Copilot and securing exclusive cloud rights.
New terms ahead: OpenAI, now valued at $500B, is finalizing an agreement with Microsoft that includes a $100B equity allocation for its nonprofit arm.
The speed of the return is remarkable. In only six years, Microsoft has secured the defining deal of the AI era, compounding value while regulators and lawsuits wait in the wings. Few investments in technology have matured this quickly.
💷 UK Lands $39B AI Investment from Tech Giants
Keir Starmer at University College London Photograph: Henry Nicholls/Reuters
The United Kingdom has secured more than $39B in commitments from Microsoft, Google, and NVIDIA to expand its AI infrastructure. The deal, signed during President Trump’s state visit, is being promoted as the “Tech Prosperity Deal” and marks one of the largest single injections of AI capital into the country.
Breakdown of the commitments:
Microsoft: $30B, split between a new Essex supercomputer with 23,000 NVIDIA GPUs and expanded operations for its 6,000 UK employees.
Google: £5B for local research and infrastructure.
NVIDIA: £11B toward what it calls the largest AI rollout in UK history.
National impact: Officials predict tens of thousands of jobs and a boost to productivity across multiple sectors.
The package reflects Britain’s ambition to position itself as an AI leader in Europe. Prime Minister Keir Starmer praised the investment as transformative, while watchdogs warn of energy costs and the risk of communities seeing little benefit. The promise of an “AI superpower” will ultimately be measured not in GPU counts, but in whether the gains show up in everyday prosperity.
Special highlight from our network
📈 The Future of AI Investments – Asia to the World
This Friday, Sept 19th at 3:30 PM HKT, we're going live with:
Cindy Chow, Executive Director & CEO, Alibaba Entrepreneurs Fund
Steve Nouri, Co-Founder, GenAI.works
They’re going live to unpack:
Asia’s AI investment trends
Cross-border growth for startups
How strategic funds are shifting the game
Set your reminder. Join the convo.
🏦 Alibaba Leads China’s AI Funding Spree With $3.2B Deal
Image Credit: Getty Images
China’s tech giants are rushing into debt markets to finance their AI ambitions. In September alone, Alibaba, Tencent, and Baidu secured more than $5B combined, with investors eager to back new infrastructure builds. Alibaba’s deal stands out as the largest convertible note offering of the year at $3.2B, priced with a 31.25% conversion premium.
Details of the fundraising spree:
Alibaba: $3.2B raised through convertible notes, with demand several times oversubscribed. Funds are earmarked for data centers, AI upgrades, and international expansion.
Baidu: $600M dim sum bond this week, following a $1.4B raise in March.
Tencent: Preparing its first public debt sale in four years.
Meituan: Exploring new issuance as it broadens its AI footprint.
The surge highlights how capital markets are becoming central to the AI race in China. Alibaba has already pledged $53B over three years for AI infrastructure, with rivals following suit. The real question is whether these massive cash infusions will secure long-term leadership or simply underline the extraordinary costs of competing at the frontier of AI.
🤖 Figure AI Secures $1B to Scale Humanoid Robots
Image Credit: Figure AI
Figure AI has raised $1B at a valuation of $39B, placing the San Jose startup above global names like Delta Air Lines and Adidas. The company builds humanoid robots designed for practical tasks such as folding laundry, stocking shelves, and moving goods in warehouses.
Funding and context:
Backers: NVIDIA, Intel Capital, LG Technology Ventures, Salesforce, and Qualcomm Ventures joined the round.
Focus: Robots will be deployed in manufacturing, logistics, warehousing, and retail, where labor shortages are most acute.
Competition: Agility Robotics, Apptronik, Boston Dynamics, and Tesla are all pushing for a U.S. robotics strategy as China ramps up its own efforts.
Challenges: Energy limits, dexterity gaps, and risks of misuse remain unresolved, slowing progress toward real-world adoption.
The valuation underscores how quickly humanoid robotics has moved from novelty to serious capital play. With investors betting heavily, the coming years will show whether machines built to look like us can also shoulder the weight of everyday work.
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