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Hey there,

Big moves in AI today.

The UAE just dropped a powerful reasoning model to challenge OpenAI. Google slashed video generation prices. And Ralph Lauren is using AI to tell you how to dress.

Let me break down what's happening.

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The UAE's Mohamed bin Zayed University and G42 just launched K2 Think, an open-source reasoning model that matches OpenAI and DeepSeek's performance despite being a fraction of the size. Developed with backing from UAE President Sheikh Mohamed, the model excels at math, coding, and science tasks while requiring far less computational power. The launch positions the UAE as a serious AI player, using this technology to diversify its economy beyond oil and compete with US and Chinese tech giants.

Google just made its Veo 3 video generation model 50% cheaper, dropping prices from $0.75 to $0.40 per second for standard output and from $0.40 to $0.15 for Veo 3 Fast. The models now support vertical 9:16 aspect ratio for social media and 1080p HD resolution, moving beyond their testing phase to become production-ready. Companies like Invisible Studio and Saga are already using Veo 3 for content creation, with the platform generating tens of millions of videos since launch.

Ralph Lauren introduced Ask Ralph, an AI-powered stylist in its mobile app that creates complete outfit recommendations from Polo Ralph Lauren inventory. Built with Microsoft on Azure OpenAI, the tool responds to prompts like "What should I wear to a concert?" with shoppable visual layouts of full outfits. The feature marks Ralph Lauren's latest tech push, 25 years after partnering with Microsoft to launch one of fashion's first e-commerce sites, now bringing that same innovation to AI-powered shopping.

Major travel booking platforms are scrambling to build AI agents as companies like Google, OpenAI, and startups threaten to bypass them entirely. Expedia launched Trip Matching to turn Instagram Reels into bookable itineraries and integrated with OpenAI Operator and Microsoft Copilot Actions. Kayak introduced an agentic AI that handles complex trip planning without multiple searches, as the industry shifts from traditional booking interfaces to autonomous AI agents that could negotiate directly between travelers and suppliers.

Google NotebookLM rolled out new study features including AI-generated flashcards and quizzes that work directly from uploaded documents like lecture notes and research papers. Users can customize difficulty levels, share study sets via links, and get detailed explanations for wrong answers with source citations. The update also includes a Learning Guide that acts like a personal tutor, using open-ended questions to break down complex problems step by step, plus partnerships with OpenStax for peer-reviewed textbook content.

Federal Judge William Alsup rejected Anthropic's record $1.5 billion settlement with authors, calling it "nowhere close to complete" and expressing concern that lawyers struck a deal to force "down the throat of authors." The judge said crucial details are missing including the list of works, author names, notification process, and claim forms for the 500,000 writers expecting $3,000 per work. Alsup gave lawyers until September 15 to submit final documentation and October 10 for court approval before considering the landmark copyright settlement.

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Stay tuned for more updates, and have a fantastic day!

Cheers,
Zephyr