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Former Theranos CEO Elizabeth Holmes on November 18, 2022 in San Jose, California.

Justin Sullivan | Getty Images

Disgraced Theranos founder Elizabeth Holmes will not go to prison this week, despite a judge’s order that she begin serving her 11-year sentence on Thursday.

Late Tuesday, Holmes’ attorneys appealed that ruling to the U.S. 9th Circuit Court of Appeals in San Francisco. Under the court’s rules, that means Holmes will remain free on bail for now.

Holmes, 39, has two children, the first of whom was born before her fraud trial in 2021. The second was born after her November sentencing.

A federal jury in San Jose, California, convicted Holmes last year on four counts of defrauding investors in her failed blood-testing company. In November, U.S. District Judge Edward Davila sentenced her to 11 years and three months in prison. Holmes’ attorneys asked that she be allowed to remain free on bail while she appeals her conviction, but earlier this month Davila denied that motion and ordered her to report to prison by April 27.

In their last-minute appeal, Holmes’ attorneys said Davila’s ruling contained “numerous, inexplicable errors,” including referring to “patient fraud counts” when Holmes was acquitted on the charges that she defrauded Theranos patients. They say she should be allowed to remain free while she appeals her conviction because the appeal is “likely to result in reversal.” The government has 10 days to respond to the motion.

Federal prosecutors have opposed Holmes’ efforts to remain free. In January, they argued Holmes was a flight risk, noting that she had booked a one-way flight to Mexico shortly before she was convicted. Davila agreed with defense lawyers that the plane ticket episode was merely an oversight, but he ruled that her appeal was unlikely to change the outcome of the case.

While Tuesday’s motion keeps Holmes out of prison for now, it may only be a brief reprieve. Holmes’ mentor and former boyfriend, Ramesh “Sunny” Balwani, convicted in a separate trial last year, also sought to remain free pending his appeal, and he appealed to the 9th Circuit when Davila denied his motion. But the appeals court turned down his request within three weeks. Last week, Balwani, 57, reported to a low-security federal prison in Los Angeles to begin serving his nearly 13-year sentence.

Holmes’ appeal of her conviction, filed last week, argues that Holmes could not have knowingly misrepresented her supposedly “revolutionary” blood-testing technology to investors because she genuinely believed the product worked.

“Highly credentialed Theranos scientists told Holmes in real time the technology worked. Outsiders who reviewed the technology said it worked. Theranos’ groundbreaking developments received many patents,” the appeal said.

Her attorneys argued that the government’s case “largely parroted the public narrative,” first laid out in a series of negative Wall Street Journal articles in 2015, that Holmes knowingly committed fraud.

The appeal challenges multiple rulings by Davila on evidence and witnesses, including allowing a former Theranos lab director to testify as an expert witness. This week, the National Association of Criminal Defense Lawyers filed a brief in support of Holmes’ appeal.

The organization argued that the government abused the rules on expert testimony in Holmes’ case, and that it is part of a trend.

“This sleight of hand is, regrettably, common,” attorney Brian Goldman wrote. “The government has previously subverted the requirements of the federal rules, and blurred the distinction between expert and lay testimony.”

The government has until May 3 to respond to Holmes’ appeal of the conviction.

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OpenAI’s Sora hit 1 million downloads in less than five days

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OpenAI's Sora hit 1 million downloads in less than five days

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OpenAI’s short-form artificial intelligence video app Sora hit 1 million downloads less than five days after its launch in late September, according to an executive.

Bill Peebles, head of Sora at OpenAI, shared the milestone in a post on X late Wednesday. He said Sora reached 1 million downloads even faster than ChatGPT, the company’s popular AI chatbot that supports 800 million weekly active users.

Sora allows users to generate short videos for free by typing in a prompt. The app is only available on iOS devices and is invite-based, which means people need a code to access it. Despite these restrictions, Sora has climbed to the No. 1 spot in Apple’s App Store.

“Team [is] working hard to keep up with surging growth,” Peebles wrote.

Sora’s launch has also sparked intense backlash, namely around whether the app infringes on copyrights. CNBC viewed videos on the platform that included characters from shows like “SpongeBob SquarePants,” “Rick and Morty” and “South Park,” and was able to generate many characters independently.

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The Motion Picture Association, which advocates on behalf of the television, motion picture and home video industries, said in a statement Monday that “videos that infringe our members’ films, shows, and characters have proliferated on OpenAI’s service.”

“OpenAI needs to take immediate and decisive action to address this issue,” Charles Rivkin, CEO of the MPA said in the statement. “Well-established copyright law safeguards the rights of creators and applies here.”

OpenAI CEO Sam Altman said the company will soon give rights holders more granular control over character generation, according to a blog post last week.

During a briefing with reporters at the company’s DevDay event on Monday, Altman said some users have complained that Sora is too restrictive. He asked for patience as the company irons out best practices.

“Please give us some grace,” Altman said. “The rate of change will be high.”

WATCH: Hollywood backlash grows against OpenAI’s new Sora video model

Hollywood backlash grows against OpenAI's new Sora video model

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Intel gives first look at next-gen chips, says Arizona fab is fully operational

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Intel gives first look at next-gen chips, says Arizona fab is fully operational

An Intel manufacturing technician holds an Intel Core Ultra series 3 processor (code-named Panther Lake) built on Intel 18A, inside Intel’s new Fab 52 in Chandler, Arizona, in September 2025.

Courtesy: Intel

Intel on Thursday announced its new PC chips slated to debut in laptops next year as the chipmaker battles to turn around its struggling business.

The company said the new Panther Lake processor is made with its 18A technology and is the most advanced node made on U.S. soil.

The new generation of chips will be made at Intel’s Fab 52 facility in Arizona, which the company said is now fully operational and set to ramp production.

“The United States has always been home to Intel’s most advanced R&D, product design and manufacturing – and we are proud to build on this legacy as we expand our domestic operations and bring new innovations to the market,” CEO Lip-Bu Tan said in a release announcing the news.

Intel CEO Lip-Bu Tan holds a wafer of CPU tiles for the Intel Core Ultra series 3, code-named Panther Lake, outside the Intel Ocotillo campus in Chandler, Arizona. Panther Lake is the first client system-on-chips (SoCs) built on the Intel 18A process node.

Courtesy: Intel

Intel’s latest reveal comes during a critical stretch for the beleaguered chipmaker that has lagged in recent years and struggled to keep up with cutting-edge chip demands spurred by the artificial intelligence revolution.

In August, the U.S. government took a 10% stake in the company in an effort to beef up U.S. manufacturing capabilities. Intel has also received investments from SoftBank and AI chipmaking giant Nvidia.

Since taking the helm of Intel in March, Tan has faced massive pressure to deliver.

This summer, President Donald Trump called Tan “highly CONFLICTED” and demanded his resignation, but later changed his tone.

Intel shares have bounced 87% this year.

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Intel year-to-date stock chart.

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AI worries have climbed but demand is off the charts, says Bernstein's Rasgon

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Google launches Gemini subscriptions to help corporate workers build AI agents

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Google launches Gemini subscriptions to help corporate workers build AI agents

Thomas Kurian CEO of Google Cloud, speaks at the Google Cloud Next conference in Las Vegas on April 8, 2025.

Candice Ward | Google Cloud | Getty Images

Google is taking another shot at selling businesses on artificial intelligence agents by introducing subscriptions featuring agents that perform specific work tasks.

Gemini Enterprise targets large organizations, starting at a monthly fee of $30 per person. Gemini Business, for smaller clients, costs $21 per person each month. The offerings enable corporate workers to build agents that draw on data from Box, Microsoft and Salesforce products.

Premade Google agents for software development, data science and customer engagement also come with the new Gemini subscriptions, along with access to agents from Workday and other companies. They include the capabilities of Agentspace, an agent building product Google announced in December. Google will upgrade current Agentspace clients to Gemini Enterprise or Gemini Business free of charge through the course of their contracts, a spokesperson said.

Gemini subscriptions come with Model Armor, a feature for inspecting and blocking requests and responses in AI chats, so organizations don’t need to fuss with setting it up.

The launch comes three days after OpenAI showed how people can access tools from third-party apps in ChatGPT. Google and Microsoft, meanwhile, are looking to get enterprises hooked on agents that take care of some processes, so employees can do other things. Both companies sell services aimed at developers and at nontechnical workers. Neither Gemini Enterprise nor Gemini Business require coding.

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“We’ve seen people from consulting services companies, telecommunications companies, software companies, hospitality companies and a variety of different manufacturing companies all using these, and in a variety of scenarios,” said Thomas Kurian, CEO of Google’s cloud group, in a media briefing.

Kurian, who accelerated the unit’s year-over-year revenue growth back above 30% in the second quarter, named cruise line Virgin Voyages as a Gemini Enterprise early adopter.

Firms are more likely to be exploring or testing AI agents than putting them into production, said Chirag Dekate, an analyst at technology industry researcher Gartner. But Google’s handling of security and governance should ease concerns among big companies evaluating agent systems, Dekate said.

Google’s new Gemini subscriptions depend on the company’s Gemini AI models for working with text, images and videos. Google and other model makers regularly release new versions, and enterprises want to avoid getting stuck with lagging models when selecting agent software, Dekate said.

“How Google is able to leverage this unified messaging in the Gemini 3.0 launch sequence, which is coming soon, I think, will also be a crucial litmus test,” he said. “In other words, will they be able to offer a same-day sort of innovation cycle, or is this going to be staggered in terms of adoption patterns?”

WATCH: Box CEO on AI monetization: Agents offer new monetization for existing software companies

Box CEO on AI monetization: Agents offer new monetization for existing software companies

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