AI spending and regulation lead the latest tech moves

Tech developments over the past day centered on the cost and control of AI. Alphabet reported roughly negative $5.8 billion in quarterly free cash flow after generating approximately $39.1 billion in operating cash flow, as Google raised its expected 2026 capital spending range to between $195 billion and $205 billion. Intel lifted its outlook and increased planned 2026 capital spending from $18 billion to $20 billion, reflecting stronger demand for data center processors tied to AI infrastructure.

AI chip competition also widened. AMD partnered with Cerebras Systems to let customers split inference workloads across AMD and Cerebras hardware through Cerebras Cloud later this year. Etched raised $300 million at a $10.3 billion valuation for chips optimized for transformer-based models, while Chinese memory suppliers gained leverage as AI demand increased pressure on DRAM and flash supply.

Policy and platform risks are rising alongside the buildout. A proposed AI Kill Switch Act would let the Department of Homeland Security order emergency restrictions on advanced systems in severe incidents, with penalties of up to $20 million per day for noncompliance. Oracle released 1,449 security patches, Origin Energy disclosed exposed customer data, Apple deepened its Ford mapping partnership, Samsung previewed AI smart glasses and SpaceX delayed Starship Flight 13 again.