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Employees working in Precision’s manufacturing facility

Courtesy: Precision Neuroscience

Neurotech startup Precision Neuroscience announced Thursday it has acquired a factory in Dallas, where it will build the key component of its brain implant, the Layer 7 Cortical Interface. The facility will help the company speed up development and move closer to the regulatory approval it is hoping to clinch in 2024.

The company has started testing its brain implant on human patients and believes it could ultimately help people with paralysis operate digital devices with their brain signals. Precision said the manufacturing plant is the only facility capable of producing its “sophisticated” electrode array.

“It allows us to iterate really quickly, improve performance, longevity, different form factors of the device — all the things that we’ve always wanted to do, we can now do in much quicker succession,” co-founder and CEO Michael Mager told CNBC in an interview. 

Precision’s electrode array is thinner than a human hair and could easily be mistaken for a piece of Scotch tape. The system’s flexible design allows it to rest on the brain’s surface and generate a real-time, high resolution rendering of neural activity without damaging any tissue.

Stephanie Rider of Precision Neuroscience inspects the company’s microelectrode array

Source: Precision Neuroscience

As a member of the fast-growing brain-computer interface (BCI) industry, Precision is developing its technology alongside other companies like Synchron, Paradromics, Blackrock Neurotech and Elon Musk’s Neuralink. Precision’s co-founder and chief science officer, Dr. Benjamin Rapoport, also helped co-found Neuralink before departing the company in 2018.

Neuralink is perhaps the best-known company in the BCI space thanks to the high profile of Musk, who is the CEO of Tesla and SpaceX. The company is taking a more invasive approach with its implant than Precision. Neuralink also manufactures its technology in-house. 

Mager said it can be difficult to make rapid design changes, protect trade secrets and keep supply levels up when working with third parties during the manufacturing process. He added that it’s much easier to ensure that Precision’s arrays are safe and of high quality when the company is directly involved with production.  

“We manufacture systems that go on human brains. The responsibility is really tremendous,” Mager said. 

At the request of the seller, a Japanese multinational corporation, Precision declined to share how much the manufacturing facility cost. Mager said the company was able to retain the 11 “key personnel” who were working there, and there’s a possibility that number will grow with time. Keeping the employees on board was a big victory for Precision, as it meant the company did not have to teach new workers how to handle the complex technology. 

Employees working in Precision’s manufacturing facility

Courtesy: Precision Neuroscience

Precision has been up and running at the facility since May, and it has already made a material difference in the company’s supply levels. Mager said previously that Precision worked with a facility that took over a year to manufacture six arrays, and now, the company can manufacture more than 100 arrays in a single week. 

The arrays coming from the new facility will help Precision keep up with the intense pace of regulatory testing, and it will also aid the company as it gears up for additional human trials at the University of Pennsylvania and at the Mount Sinai Health System in New York City.

“I think, ultimately, the value that we have the potential to create is a lot greater as a result of being in complete control and owning 100% of the facility that is helping to drive all this innovation,” Mager said. “But it is a longer, more capital-intensive game.”  

Precision has been working closely with regulators, but the company still needs to go through several rounds of rigorous safety and efficacy testing before it will receive approval from the Food and Drug Administration to commercialize its technology. 

But the FDA recently gave Precision a nod, as the company announced Thursday it has received a Breakthrough Device designation from the agency. The designation is awarded to medical devices that have the potential to provide improved treatment for debilitating or life-threatening conditions, and the FDA has granted 109 of them in fiscal 2023 so far, according to its website. 

Mager said the designation will open a more frequent line of communication between Precision and the agency that will help expedite the company’s path toward commercialization. He said that with the manufacturing facility, the Breakthrough Device designation and in-patient trials in the works, Precision has the momentum it needs to move forward.  

“It’s never been more exciting,” he said. 

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Week in review: The Nasdaq’s worst week since April, three trades, and earnings

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Week in review: The Nasdaq's worst week since April, three trades, and earnings

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Too early to bet against AI trade, State Street suggests 

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Too early to bet against AI trade, State Street suggests 

Momentum and private assets: The trends driving ETFs to record inflows

State Street is reiterating its bullish stance on the artificial intelligence trade despite the Nasdaq’s worst week since April.

Chief Business Officer Anna Paglia said momentum stocks still have legs because investors are reluctant to step away from the growth story that’s driven gains all year.

“How would you not want to participate in the growth of AI technology? Everybody has been waiting for the cycle to change from growth to value. I don’t think it’s happening just yet because of the momentum,” Paglia told CNBC’s “ETF Edge” earlier this week. “I don’t think the rebalancing trade is going to happen until we see a signal from the market indicating a slowdown in these big trends.”

Paglia, who has spent 25 years in the exchange-traded funds industry, sees a higher likelihood that the space will cool off early next year.

“There will be much more focus about the diversification,” she said.

Her firm manages several ETFs with exposure to the technology sector, including the SPDR NYSE Technology ETF, which has gained 38% so far this year as of Friday’s close.

The fund, however, pulled back more than 4% over the past week as investors took profits in AI-linked names. The fund’s second top holding as of Friday’s close is Palantir Technologies, according to State Street’s website. Its stock tumbled more than 11% this week after the company’s earnings report on Monday.

Despite the decline, Paglia reaffirmed her bullish tech view in a statement to CNBC later in the week.

Meanwhile, Todd Rosenbluth suggests a rotation is already starting to grip the market. He points to a renewed appetite for health-care stocks.

“The Health Care Select Sector SPDR Fund… which has been out of favor for much of the year, started a return to favor in October,” the firm’s head of research said in the same interview. “Health care tends to be a more defensive sector, so we’re watching to see if people continue to gravitate towards that as a way of diversifying away from some of those sectors like technology.”

The Health Care Select Sector SPDR Fund, which has been underperforming technology sector this year, is up 5% since Oct. 1. It was also the second-best performing S&P 500 group this week.

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People with ADHD, autism, dyslexia say AI agents are helping them succeed at work

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People with ADHD, autism, dyslexia say AI agents are helping them succeed at work

Neurodiverse professionals may see unique benefits from artificial intelligence tools and agents, research suggests. With AI agent creation booming in 2025, people with conditions like ADHD, autism, dyslexia and more report a more level playing field in the workplace thanks to generative AI.

A recent study from the UK’s Department for Business and Trade found that neurodiverse workers were 25% more satisfied with AI assistants and were more likely to recommend the tool than neurotypical respondents.

“Standing up and walking around during a meeting means that I’m not taking notes, but now AI can come in and synthesize the entire meeting into a transcript and pick out the top-level themes,” said Tara DeZao, senior director of product marketing at enterprise low-code platform provider Pega. DeZao, who was diagnosed with ADHD as an adult, has combination-type ADHD, which includes both inattentive symptoms (time management and executive function issues) and hyperactive symptoms (increased movement).

“I’ve white-knuckled my way through the business world,” DeZao said. “But these tools help so much.”

AI tools in the workplace run the gamut and can have hyper-specific use cases, but solutions like note takers, schedule assistants and in-house communication support are common. Generative AI happens to be particularly adept at skills like communication, time management and executive functioning, creating a built-in benefit for neurodiverse workers who’ve previously had to find ways to fit in among a work culture not built with them in mind.

Because of the skills that neurodiverse individuals can bring to the workplace — hyperfocus, creativity, empathy and niche expertise, just to name a few — some research suggests that organizations prioritizing inclusivity in this space generate nearly one-fifth higher revenue.

AI ethics and neurodiverse workers

“Investing in ethical guardrails, like those that protect and aid neurodivergent workers, is not just the right thing to do,” said Kristi Boyd, an AI specialist with the SAS data ethics practice. “It’s a smart way to make good on your organization’s AI investments.”

Boyd referred to an SAS study which found that companies investing the most in AI governance and guardrails were 1.6 times more likely to see at least double ROI on their AI investments. But Boyd highlighted three risks that companies should be aware of when implementing AI tools with neurodiverse and other individuals in mind: competing needs, unconscious bias and inappropriate disclosure.

“Different neurodiverse conditions may have conflicting needs,” Boyd said. For example, while people with dyslexia may benefit from document readers, people with bipolar disorder or other mental health neurodivergences may benefit from AI-supported scheduling to make the most of productive periods. “By acknowledging these tensions upfront, organizations can create layered accommodations or offer choice-based frameworks that balance competing needs while promoting equity and inclusion,” she explained.

Regarding AI’s unconscious biases, algorithms can (and have been) unintentionally taught to associate neurodivergence with danger, disease or negativity, as outlined in Duke University research. And even today, neurodiversity can still be met with workplace discrimination, making it important for companies to provide safe ways to use these tools without having to unwillingly publicize any individual worker diagnosis.

‘Like somebody turned on the light’

As businesses take accountability for the impact of AI tools in the workplace, Boyd says it’s important to remember to include diverse voices at all stages, implement regular audits and establish safe ways for employees to anonymously report issues.

The work to make AI deployment more equitable, including for neurodivergent people, is just getting started. The nonprofit Humane Intelligence, which focuses on deploying AI for social good, released in early October its Bias Bounty Challenge, where participants can identify biases with the goal of building “more inclusive communication platforms — especially for users with cognitive differences, sensory sensitivities or alternative communication styles.”

For example, emotion AI (when AI identifies human emotions) can help people with difficulty identifying emotions make sense of their meeting partners on video conferencing platforms like Zoom. Still, this technology requires careful attention to bias by ensuring AI agents recognize diverse communication patterns fairly and accurately, rather than embedding harmful assumptions.

DeZao said her ADHD diagnosis felt like “somebody turned on the light in a very, very dark room.”

“One of the most difficult pieces of our hyper-connected, fast world is that we’re all expected to multitask. With my form of ADHD, it’s almost impossible to multitask,” she said.

DeZao says one of AI’s most helpful features is its ability to receive instructions and do its work while the human employee can remain focused on the task at hand. “If I’m working on something and then a new request comes in over Slack or Teams, it just completely knocks me off my thought process,” she said. “Being able to take that request and then outsource it real quick and have it worked on while I continue to work [on my original task] has been a godsend.”

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