Alphabet is merging an internal Google Research team called Brain with DeepMind, a move designed to bring two groups focused on artificial intelligence closer together as the battle for AI heats up.
Google acquired DeepMind in 2014 for a reported $500 million and has until now run it as an independent unit out of the U.K. DeepMind has been one of Alphabet’s “other bets,” performing futuristic work, such as teaching computer systems to beat top-ranked players of the Chinese board game Go.
“Combining all this talent into one focused team, backed by the computational resources of Google, will significantly accelerate our progress in AI,” Alphabet CEO Sundar Pichai said in blog post Thursday.
Jeff Dean, who currently leads Google’s AI efforts, will be promoted and given the title of chief scientist at Google, reporting to Pichai. He’ll head up the “most critical and strategic” technical projects related to AI, the first of which will be a series of powerful, multimodal AI models.
The move marks Google’s latest reorganization in response to the rapid developments in AI, following OpenAI’s launch of the chatbot ChatGPT late last year. CNBC previously reported that Google reshuffled its Assistant organization to prioritize the company’s AI chatbot Bard.
“The pace of progress is now faster than ever before,” Pichai wrote. “To ensure the bold and responsible development of general AI, we’re creating a unit that will help us build more capable systems more safely and responsibly.”
DeepMind has been able to operate separately from Google’s core research, enabling it to move quicker on breakthroughs such as AlphaFold, which can predict 3D models of protein structures. The two divisions, DeepMind and Google Research, have also reportedly had tensions in the past, leading DeepMind to seek more independence.
DeepMind CEO Demis Hassabis will lead the development of “the most capable and responsible general AI systems,” Pichai said. That research, he added, “will help power the next generation of our products and services.”
Brain, the Google Research team merging with DeepMind, is focused on AI and machine learning. Pichai said Google Research will continue work in areas such as algorithms and theory, privacy and security, quantum computing, health, and responsible Al.
In addition to the blog post, Pichai sent a lengthier memo to staffers about the changes.
James Manyika, Google’s senior vice president of technology and society, will now oversee Google Research, along with his existing teams, Pichai said. Manyika will report to Dean and the changes will take place over the next few weeks, the memo said.
Here’s the text of the memo, which CNBC obtained:
Hi everyone,
We’ve been an Al-first company since 2016 because we see Al as the most significant way to deliver on our mission. Since then, we’ve used Al to improve many of our core products, from Search, YouTube and Gmail to the incredible camera in Pixel phones. We’ve helped businesses and developers harness the power of Al via Google Cloud, and we’ve shown Al’s potential to address societal issues like health and climate change.
Along the way, we’ve been lucky to have two world-class research teams leading the entire industry forward with foundational breakthroughs that have ushered in a new era of Al.
The pace of progress is now faster than ever before. To ensure the bold and responsible development of general Al, we’re creating a unit that will help us build more capable systems more safely and responsibly.
This group, called Google DeepMind, will bring together part of Google Research (the Brain team) and DeepMind. Combining all this talent into one focused team, backed by the computational resources of Google, will significantly accelerate our progress in Al.
As CEO of the new unit, Demis Hassabis will lead the development of our most capable and responsible general Al systems — research that will help power the next generation of our products and services. Jeff Dean will take on the elevated role of Google’s Chief Scientist, reporting to me. In that capacity he’ll serve as Chief Scientist to Google Research and Google DeepMind. Jeff will help set the future direction of our Al research and head up our most critical and strategic technical projects related to Al — the first of which will be a series of powerful, multi-modal Al models.
This move brings together two leading research groups in the Al field. Their collective accomplishments in Al over the last decade span AlphaGo, Transformers, word2vec, WaveNet, AlphaFold, sequence to sequence models, distillation, deep reinforcement learning, and distributed systems and software frameworks like TensorFlow and JAX for expressing, training and deploying large scale ML models.
Google DeepMind will operate as a nimble, fast-paced unit, with clear points of connection and collaboration with Google Research and the PAs.
With this change, James Manyika will now oversee Google Research along with his existing Tech & Society teams. Many of Research’s technological advances have shaped core products and features across Alphabet and will continue to do so. Working closely with Jeff as Chief Scientist, Google Research will continue its focus on fundamental and applied research across a broad portfolio. This means cracking seemingly impossible, foundational and long-term challenges in computer science — including in Al and ML — that benefit people’s lives around the world, from algorithms and theory to privacy and security to quantum computing, health, responsible Al, and more.
We’re announcing these changes today and will take the next few weeks to get the new teams into place.
Please join me in congratulating Demis, Jeff, and James on their new roles and their continued collaboration. The Google Research and DeepMind teams have laid the foundation that brought us to this inflection point.
I’m so excited for the next phase of this journey the progress we’ make against our mission, and all the ways we’ll help people reach their potential with increasingly capable and responsible Al.
Apple is losing market share in China due to declining iPhone shipments, supply chain analyst Ming-Chi Kuo wrote in a report on Friday. The stock slid 2.4%.
“Apple has adopted a cautious stance when discussing 2025 iPhone production plans with key suppliers,” Kuo, an analyst at TF Securities, wrote in the post. He added that despite the expected launch of the new iPhone SE 4, shipments are expected to decline 6% year over year for the first half of 2025.
Kuo expects Apple’s market share to continue to slide, as two of the coming iPhones are so thin that they likely will only support eSIM, which the Chinese market currently does not promote.
“These two models could face shipping momentum challenges unless their design is modified,” he wrote.
Kuo wrote that in December, overall smartphone shipments in China were flat from a year earlier, but iPhone shipments dropped 10% to 12%.
There is also “no evidence” that Apple Intelligence, the company’s on-device artificial intelligence offering, is driving hardware upgrades or services revenue, according to Kuo. He wrote that the feature “has not boosted iPhone replacement demand,” according to a supply chain survey he conducted, and added that in his view, the feature’s appeal “has significantly declined compared to cloud-based AI services, which have advanced rapidly in subsequent months.”
Apple’s estimated iPhone shipments total about 220 million units for 2024 and between about 220 million and 225 million for this year, Kuo wrote. That is “below the market consensus of 240 million or more,” he wrote.
Apple did not immediately respond to CNBC’s request for comment.
Amazon said it is halting some of its diversity and inclusion initiatives, joining a growing list of major corporations that have made similar moves in the face of increasing public and legal scrutiny.
In a Dec. 16 internal note to staffers that was obtained by CNBC, Candi Castleberry, Amazon’s VP of inclusive experiences and technology, said the company was in the process of “winding down outdated programs and materials” as part of a broader review of hundreds of initiatives.
“Rather than have individual groups build programs, we are focusing on programs with proven outcomes — and we also aim to foster a more truly inclusive culture,” Castleberry wrote in the note, which was first reported by Bloomberg.
Castleberry’s memo doesn’t say which programs the company is dropping as a result of its review. The company typically releases annual data on the racial and gender makeup of its workforce, and it also operates Black, LGBTQ+, indigenous and veteran employee resource groups, among others.
In 2020, Amazon set a goal of doubling the number of Black employees in vice president and director roles. It announced the same goal in 2021 and also pledged to hire 30% more Black employees for product manager, engineer and other corporate roles.
Meta on Friday made a similar retreat from its diversity, equity and inclusion initiatives. The social media company said it’s ending its approach of considering qualified candidates from underrepresented groups for open roles and its equity and inclusion training programs. The decision drew backlash from Meta employees, including one staffer who wrote, “If you don’t stand by your principles when things get difficult, they aren’t values. They’re hobbies.”
Amazon, which is the nation’s second-largest private employer behind Walmart, also recently made changes to its “Our Positions” webpage, which lays out the company’s stance on a variety of policy issues. Previously, there were separate sections dedicated to “Equity for Black people,” “Diversity, equity and inclusion” and “LGBTQ+ rights,” according to records from the Internet Archive’s Wayback Machine.
The current webpage has streamlined those sections into a single paragraph. The section says that Amazon believes in creating a diverse and inclusive company and that inequitable treatment of anyone is unacceptable. The Information earlier reported the changes.
Amazon spokesperson Kelly Nantel told CNBC in a statement: “We update this page from time to time to ensure that it reflects updates we’ve made to various programs and positions.”
Read the full memo from Amazon’s Castleberry:
Team,
As we head toward the end of the year, I want to give another update on the work we’ve been doing around representation and inclusion.
As a large, global company that operates in different countries and industries, we serve hundreds of millions of customers from a range of backgrounds and globally diverse communities. To serve them effectively, we need millions of employees and partners that reflect our customers and communities. We strive to be representative of those customers and build a culture that’s inclusive for everyone.
In the last few years we took a new approach, reviewing hundreds of programs across the company, using science to evaluate their effectiveness, impact, and ROI — identifying the ones we believed should continue. Each one of these addresses a specific disparity, and is designed to end when that disparity is eliminated. In parallel, we worked to unify employee groups together under one umbrella, and build programs that are open to all. Rather than have individual groups build programs, we are focusing on programs with proven outcomes — and we also aim to foster a more truly inclusive culture. You can read more about this on our Together at Amazon page on A to Z.
This approach — where we move away from programs that were separate from our existing processes, and instead integrating our work into existing processes so they become durable — is the evolution to “built in” and “born inclusive,” instead of “bolted on.” As part of this evolution, we’ve been winding down outdated programs and materials, and we’re aiming to complete that by the end of 2024. We also know there will always be individuals or teams who continue to do well-intentioned things that don’t align with our company-wide approach, and we might not always see those right away. But we’ll keep at it.
We’ll continue to share ongoing updates, and appreciate your hard work in driving this progress. We believe this is important work, so we’ll keep investing in programs that help us reflect those audiences, help employees grow, thrive, and connect, and we remain dedicated to delivering inclusive experiences for customers, employees, and communities around the world.
New Tesla Model 3 vehicles on a truck at a logistics drop zone in Seattle, Washington, on Aug. 22, 2024.
M. Scott Brauer | Bloomberg | Getty Images
Tesla is voluntarily recalling about 239,000 of its electric vehicles in the U.S. to fix an issue that can cause its rearview cameras to fail, the company disclosed in filings posted Friday to the National Highway Traffic Safety Administration’s website.
“A rearview camera that does not display an image reduces the driver’s rear view, increasing the risk of a crash,” Tesla wrote in a letter to the regulator. The recall applies to Tesla’s 2024-2025 Model 3 and Model S sedans, and to its 2023-2025 Model X and Model Y SUVs.
The company also said in the acknowledgement letter that it has already “released an over-the-air (OTA) software update, free of charge” that can fix some of the vehicles’ camera issues.
In 2024, Tesla issued 16 recalls in the U.S. that applied to 5.14 million of its EVs, according to NHTSA data. The recall remedies included a mix of over-the-air software updates and parts replacements. More than 40% of last year’s recalls pertained to issues with the newest vehicle in the company’s lineup, the Cybertruck, an angular steel pickup that Tesla began delivering to customers in late 2023.
Regarding the latest recall, the company said it had received 887 warranty claims and dozens of field reports but told the NHTSA that it was not aware of any injurious, fatal or other collisions resulting from the rearview camera failures.
Other customers with vehicles that “experienced a circuit board failure or stress that may lead to a circuit board failure,” which cause the backup camera failures, can have their vehicles’ computers replaced by Tesla, free of charge, the company said.
Tesla did not immediately respond to CNBC’s request for comment.