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The Stripe logo pictured on a smartphone with U.S. dollar banknotes in in the background.
Budrul Chukrut | SOPA Images | LightRocket via Getty Images

LONDON — Stripe on Thursday debuted a new product that it says will make it easier for businesses to calculate and collect sales taxes, marking the digital payment giant’s latest push into other areas of finance.

The service, called Stripe Tax, will automate the calculation and collection of sales tax, value-added tax and goods and services tax for transactions made through Stripe’s platform. British newspaper publisher News UK and Dutch start-up Routetitan are among those already using the service.

Matt Henderson, Stripe’s EMEA lead, said working out how much sales tax needs to be paid on certain transactions can be a complex process, with rules varying across different countries. In the U.S., there are over 11,000 different sales tax jurisdictions, “often the size of a small town,” Henderson told CNBC.

“There’s a lot of different variables that go into determining what’s the right rate and when is it due for collection and payment,” he added. “In Germany, for example, a pet rabbit is 19% VAT and a pet guinea pig is 7% VAT, whereas in the U.K. or Ireland you wouldn’t make a distinction on such things.”

Businesses can enable Stripe Tax by adding a single line of code to their website, the company said. Stripe will use data like a customer’s location and the product or service being sold to work out how much tax is due. Stripe makes money by taking a small cut of the transaction from its merchants.

Stripe, which competes with the likes of Square, Adyen and Checkout.com, got a big boost from the coronavirus pandemic last year as many businesses moved online due to lockdown restrictions around the world.

Stripe attracted more than 500,000 new clients in Europe alone since the start of the pandemic, according to Henderson. The company has been increasingly expanding into areas beyond payments, such as lending and bank accounts from partners like Citigroup and Goldman Sachs.

However, Stripe ruled out any intention of becoming a fully-fledged bank, with President John Collison saying last year he doesn’t believe in the Silicon Valley mentality of “doing everything themselves.”

Stripe was last privately valued at $95 billion in a March funding round. The company said it would use the fresh funds to expand its European operations. Stripe’s sales tax software was developed out of Dublin, where it employs about 80 engineers.

“We really need to be in investment mode, partly because there is still unfinished business in payments but also because there’s just so many other things adjacent to payments that are obstacles for businesses to grow online,” Henderson said.

The launch of the company’s new product comes after it acquired U.S. start-up TaxJar, which specializes in sales tax software, in April.

According to Bank of America, the total addressable market for sales tax is estimated to be worth $24 billion. A number of companies compete in the space, including sales tax specialists Avalara and accounting software provider Intuit.

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OpenAI forms expert council to bolster safety measures after FTC inquiry

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OpenAI forms expert council to bolster safety measures after FTC inquiry

OpenAI’s EMEA startups head Laura Modiano spoke at the Sifted Summit on Wednesday, 8 October.

Nurphoto | Nurphoto | Getty Images

OpenAI on Tuesday announced a council of eight experts who will advise the company and provide insight into how artificial intelligence could affect users’ mental health, emotions and motivation. 

The group, which is called the Expert Council on Well-Being and AI, will initially guide OpenAI’s work on its chatbot ChatGPT and its short-form video app Sora, the company said. Through check-ins and recurring meetings, OpenAI said the council will help it define what healthy AI interactions look like.

OpenAI has been expanding its safety controls in recent months as the company has faced mounting scrutiny over how it protects users, particularly minors.

In September, the Federal Trade Commission launched an inquiry into several tech companies, including OpenAI, over how chatbots like ChatGPT could negatively affect children and teenagers. OpenAI is also embroiled in a wrongful death lawsuit from a family who blames ChatGPT for their teenage son’s death by suicide.

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The company is building an age prediction system that will automatically apply teen-appropriate settings for users under 18, and it launched a series of parental controls late last month. Parents can now get notified if their child is showing signs of acute distress, for instance.

OpenAI said it began informally consulting with members of its new expert council as it was building its parental controls. The company brought on additional experts in psychiatry. psychology and human-computer interaction as it formalized the council, which officially launched with an in-person session last week.

In addition to its expert council, OpenAI said it is also working with researchers and mental health clinicians within the Global Physician Network who will help test ChatGPT and establish company policies. 

Here are the members of OpenAI’s Expert Council on Well-Being and AI:

  • Andrew Przybylski, a professor of human behavior and technology at the University of Oxford. 
  • David Bickham, a research scientist in the Digital Wellness Lab at Boston Children’s Hospital. 
  • David Mohr, the director of Northwestern University’s Center for Behavioral Intervention Technologies.
  • Mathilde Cerioli, the chief scientist at Everyone.AI, a nonprofit that explores the risks and benefits of AI for children.
  • Munmun De Choudhury, a professor at Georgia Tech’s School of Interactive Computing. 
  • Dr. Robert Ross, a pediatrician by training and the former CEO of The California Endowment, a nonprofit that aims to expand access to affordable health care. 
  • Dr. Sara Johansen, a clinical assistant professor at Stanford University who founded its Digital Mental Health Clinic.
  • Tracy Dennis-Tiwary, a professor of psychology at Hunter College.

If you are having suicidal thoughts or are in distress, contact the Suicide & Crisis Lifeline at 988 for support and assistance from a trained counselor

WATCH: FTC launches inquiry into AI chatbots acting as companions

FTC launches inquiry into AI chatbots acting as companions

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Oracle Cloud to deploy 50,000 AMD AI chips, signaling new Nvidia competition

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Oracle Cloud to deploy 50,000 AMD AI chips, signaling new Nvidia competition

We're still early in the AI cycle, says Bernstein's Stacy Rasgon

Oracle Cloud Infrastructure on Tuesday announced it will deploy 50,000 Advanced Micro Devices graphics processors starting in the second half of 2026.

AMD shares climbed about 2%. Oracle shares sank 4% while Nvidia was more than 3% lower.

The move is the latest sign that cloud companies are increasingly offering AMD’s graphics processing units as an alternative to Nvidia’s market-leading GPUs for artificial intelligence.

“We feel like customers are going to take up AMD very, very well — especially in the inferencing space,” said Karan Batta, senior vice president of Oracle Cloud Infrastructure.

Oracle will use AMD’s Instinct MI450 chips, which were announced earlier this year.

They are AMD’s first AI chips that can be assembled into a larger rack-sized system that enables 72 of the chips to work as one, which is needed to create and deploy the most advanced AI algorithms.

OpenAI CEO Sam Altman appeared with AMD CEO Lisa Su at a company event in June to announce the product.

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Earlier this month, OpenAI announced a deal with AMD for processors requiring 6 gigawatts of power over multiple years, with a 1-gigawatt rollout starting in 2026. As part of the deal, and if the deployment goes well, OpenAI may end up owning as many as 160 million shares of AMD, or about 10% of the company.

In September, OpenAI entered into a five-year cloud deal with Oracle that could be worth as much as $300 billion.

OpenAI has historically been closely linked with Nvidia, whose chips were used to develop ChatGPT. Nvidia’s chips dominate the market for data center GPUs with more than 90% market share. Nvidia also invested in OpenAI in September.

But OpenAI leaders say the company needs as much computing power as possible, which means it needs AI chips from multiple suppliers. OpenAI also has plans to design its own AI chips with Broadcom.

“I think AMD has done a really fantastic job, just like Nvidia, and I think both of them have their place,” Batta said.

Tuesday at Oracle AI World, founder and Chairman Larry Ellison is set to take the stage and share his views on the latest OpenAI deal and what his company is doing to stay ahead of its main cloud competitors – Microsoft, Amazon and Google

“Oracle has already shown it is willing to place big bets and go all in to meet the AI moment. The company must now prove that beyond capacity, it can capitalize on its massive underlying data and enterprise capabilities … to add meaningful value to the enterprise AI wave,” said Daniel Newman, CEO of The Futurum Group, on the sidelines of Oracle’s conference.

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Major real estate developers are fast becoming power brokers

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Major real estate developers are fast becoming power brokers

Aerial view of the Apple Data Center in Mesa near Phoenix, Arizona, U.S. on August 6, 2017. Picture taken on August 6, 2017. Apple plans to build its second data center in China at Ulanqab City in the Inner Mongolia Autonomous Region.

Jim Todd | Reuters

A version of this article first appeared in the CNBC Property Play newsletter with Diana Olick. Property Play covers new and evolving opportunities for the real estate investor, from individuals to venture capitalists, private equity funds, family offices, institutional investors and large public companies. Sign up to receive future editions, straight to your inbox.

The sudden surge in demand for data is fast creating new commercial real estate sectors – not just data centers, but so-called quantum real estate and powered land.

The former refers to structures designed to house specialized quantum computers. The latter is land prepared and ready for data center operations, with a focus on obtaining a reliable and sufficient power supply. That land would have to be secured with the permits, utility commitments and infrastructure needed to deliver power to a data center.

There are currently about 20,000 acres of powered land sitting under operational data centers around the world. Roughly 40,000 acres of powered land, almost 2 billion square feet, are needed to support current projections for data center growth over the next five years, according to a new research paper from Hines, a global real estate investment manager. That’s equivalent to just under the size of three Manhattans or about 1½ times the size of Paris.

Hines, which has been developing data centers for more than 20 years, has pivoted to a new business in just the past year. It is now securing power and entitlements for hyperscale sites. What that means on the ground is mapping grids, negotiating with landowners and providing financial guarantees to grid operators, who now demand it.

“The challenge isn’t building walls anymore. It’s getting megawatts to the site,” said David Steinbach, Hines’ global chief investment officer. “Hines is focused on this front-end work, making land AI-ready before the buildings even rise.”

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Steinbach said powered land has become its own investable asset class, because power rights themselves are scarce and valuable. Once grid connections and permits are secured, you’ve created a tradeable asset with clear demand from hyperscalers and operators, he said. 

The competition for powered land is being led more by tech companies and energy producers than real estate developers, but Hines clearly doesn’t want to be left behind. 

The smartest capital today isn’t chasing square footage — it’s enabling computation,” said Steinbach, citing the recent Nvidia deal with Intel to co-develop chips for data centers and personal computers. “Nvidia‘s $5 billion bet on Intel isn’t just a chip deal, it’s a seismic signal that AI infrastructure is the new oil.”

In August, Silver Lake, a global private equity firm focused on technology investment, along with Commonwealth Asset Management, a real estate and infrastructure investment firm, announced the launch of a powered land platform aimed at data center development. It will deploy $400 million of capital “to assemble a global portfolio of strategically located powered land sites to address the key scarce input in meeting the escalating demand for data centers,” according to a news release.

The platform is currently operating in and targeting high-growth markets across the U.S., Canada and the U.K., where power access is becoming increasingly scarce.

“This investment represents a long-term commitment to not only meeting the immediate needs of AI-driven data center growth but also positioning the company as a leader in the future of digital infrastructure and a one-stop shop for rapidly growing developers and hyperscalers,” said Lee Wittlinger, managing director at Silver Lake, in the release. “Our innovative approach to land and power solutions, combined with strategic relationships with key energy partners, will enable us to meet the evolving demands of hyperscalers with a holistic, differentiated approach.”

Data center hubs will now have to expand beyond already crowded markets like northern Virginia and into power-rich regions in the Midwest and Texas. Hines’ research paper points to big opportunities right now in Europe, where undersupply and growing demand could mean big potential for both developers and investors. It also highlights the Middle East as an emerging market with growing potential as governments there invest heavily in artificial intelligence, renewables and grid infrastructure.

This is not to say that this new concept of powered land is without challenges, including securing the appropriate land, managing entitlement processes with local governments, and working with utility providers to obtain sufficient commitments.  

“This isn’t just a tech story,” said Steinbach. “It’s a building cycle story reshaping how and where the real estate business develops for decades to come.”

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