Welcome back! NVIDIA and Hyundai are teaming up on a $3 billion AI factory to power autonomous driving and smart manufacturing. Google and Reliance are rolling out 18 months of free AI Pro access for millions of Jio users across India. Intel explores acquiring SambaNova to revive its AI chip strategy, while Extropic unveils thermodynamic computing to reduce AI’s energy consumption.
In today’s Generative AI Newsletter:
• NVIDIA & Hyundai build a $3B AI factory for self-driving cars and intelligent factories
• Google & Reliance offer free AI Pro plan for Jio users to accelerate India’s AI push
• Intel in early talks to acquire SambaNova and reenter the AI GPU race
• Extropic introduces thermodynamic computing to reduce AI’s massive energy footprint
Latest Developments
NVIDIA and Hyundai Partner on $3 Billion AI Factory for Autonomous Vehicles and Smart Manufacturing
Image Source: NVIDIA
NVIDIA and Hyundai Motor Group are deepening their collaboration with a new AI factory powered by 50,000 NVIDIA Blackwell GPUs. The partnership will accelerate innovation in autonomous vehicles, smart factories, and robotics, with an approximately $3 billion investment to advance Korea's physical AI landscape. Hyundai will deploy NVIDIA's AI infrastructure across in-vehicle intelligence, autonomous driving, factory automation, and robotics, shifting from strategic adoption to joint development of core physical AI technologies.
Here's what's happening:
50,000 Blackwell GPUs will power integrated AI model training, validation, and deployment across Hyundai's mobility solutions and manufacturing operations.
$3 billion investment aligns with Korea’s plan for a national Physical AI Cluster, including a new AI Technology Center and Application Hub.
Omniverse and Cosmos platforms will create factory digital twins for precision control, predictive maintenance, and virtual robot validation before physical deployment.
DRIVE AGX Thor will serve as the AI brain for real-time vehicle intelligence, running advanced driver-assistance systems and in-vehicle AI features on safety-certified DriveOS.
Nemotron and NeMo software will power over-the-air updates and personalized in-car assistants that learn continuously.
Humanoid and robotic systems will be validated virtually using Isaac Sim to accelerate robot integration and maximize production efficiency.
Hyundai is building an interconnected AI ecosystem where vehicles, robots, and factories share intelligence instead of operating as silos. The project underscores how “physical AI” systems that act and learn in the real world, is becoming central to industrial competitiveness.
With Korea’s national backing and NVIDIA’s hardware-software stack, Hyundai is positioning itself at the front of a multitrillion-dollar race to build the intelligent factories and vehicles of the next decade.
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Google and Reliance Partner to Bring Free AI Pro Plan to Jio Users Across India
Image Source: NDTV
Google and Reliance are teaming up to accelerate AI adoption across India with an ambitious rollout: 18 months of free access to Google’s AI Pro plan for eligible Jio users. The offer includes Gemini 2.5 Pro, 2TB of cloud storage, and premium AI creation tools valued at ₹35,100.
As part of the deal, Reliance Intelligence will become a strategic go-to-market partner for Google Cloud, leading Gemini Enterprise adoption across Indian organizations while building its own pre-built enterprise AI agents.
Here's what's happening:
18-month free AI Pro plan for eligible Jio users includes Gemini 2.5 Pro, higher limits for image and video generation with Nano Banana and Veo 3.1 models, and 2TB of cloud storage.
Early access for youth begins with 18 to 25-year-old users on unlimited 5G plans, expanding swiftly to all Jio customers nationwide through the MyJio app.
Google Cloud TPU access will enable Indian organizations to train and deploy larger, more complex AI models with faster inferencing capabilities.
Gemini Enterprise partnership establishes Reliance Intelligence as a strategic partner for driving adoption of Google's unified agentic AI platform across Indian businesses.
Pre-built enterprise AI agents will be developed by Reliance Intelligence for Gemini Enterprise, expanding options beyond Google-built agents.
Multi-GW clean energy compute facilities planned by Reliance to build state-of-the-art sovereign AI capabilities supporting India's national AI backbone.
The partnership reflects Reliance's AI for All vision, combining Google's technology with Jio's unmatched connectivity and ecosystem reach to democratize AI access across 1.45 billion Indians. Mukesh Ambani emphasized making India not just AI-enabled but AI-empowered, where every citizen and enterprise can harness intelligent tools to create and innovate. The collaboration supports Prime Minister Narendra Modi's vision to make India a global AI powerhouse by strengthening the country's digital foundation for an AI-driven future.
Intel Eyes SambaNova Acquisition to Bolster AI Chip Ambitions
Image Source: Communication Today
Intel is reportedly in early talks to acquire AI chip startup SambaNova Systems, according to a report by Bloomberg News. The move signals Intel’s renewed push into the booming AI hardware market as it looks to compete more aggressively with NVIDIA.
While still preliminary, the deal could value SambaNova below its 2021 peak of $5 billion, reflecting the reset in AI startup valuations amid consolidation in the chip space.
Here’s what’s new:
Strategic comeback: The acquisition could strengthen Intel’s re-entry into the AI GPU market, which it plans to rejoin next year.
Valuation reset: Discussions suggest SambaNova’s valuation will likely be lower than its 2021 peak, underscoring recalibrated investor sentiment.
Deep investor ties: SambaNova has received funding from Intel Capital, SoftBank’s Vision Fund, and Walden International, the firm led by Intel CEO Lip-Bu Tan.
Leadership overlap: Tan also serves as executive chairman of SambaNova, highlighting close strategic alignment.
Financial flexibility: Intel’s recent multibillion-dollar funding from NVIDIA, SoftBank, and the U.S. government gives it room for strategic acquisitions.
No official confirmation yet: Intel declined to comment, and SambaNova has not yet responded to media inquiries.
If completed, the acquisition would mark a bold step in Intel’s AI revival strategy, positioning it to reclaim ground in the chip race after years of falling behind. It also hints at a broader trend where legacy semiconductor giants are turning to AI-native startups to fast-track innovation and close the gap with NVIDIA’s dominance.
Extropic Unveils Thermodynamic Computing to Break AI’s Energy Barrier
Image Source: Extropic
Extropic has announced a breakthrough in AI hardware and algorithms designed to overcome one of the industry’s biggest challenges, energy consumption.
The company introduced the world’s first scalable probabilistic computer, capable of running generative AI workloads using dramatically less power than traditional deep learning systems on GPUs.
Here’s what’s new:
XTR-0 platform: A proof-of-technology development kit, already in beta with early partners.
Thermodynamic Sampling Unit (TSU): New hardware designed to sample directly from complex probability distributions instead of performing energy-intensive matrix multiplications.
Denoising Thermodynamic Model: A new generative AI algorithm optimized for the TSU’s architecture.
ThrmL Python library: A simulation toolkit that enables developers to build thermodynamic machine learning algorithms.
Extropic’s approach challenges the assumption that AI’s progress depends on ever-larger energy budgets. Instead of generating more power, it focuses on using energy more efficiently, drawing inspiration from thermodynamics to perform computation in a way that naturally conserves energy.
Traditional CPUs and GPUs waste significant energy transferring data. Extropic’s probabilistic hardware skips those costly steps, directly generating probabilistic samples in a single operation. This design could enable orders-of-magnitude energy savings, making continuous, large-scale AI more sustainable.
With the fundamental science complete, Extropic says it is now shifting from breakthrough to buildout. If successful, thermodynamic computing could redefine not only how AI learns, but how far it can scale before physics becomes the limit.
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