TL;DR

OpenAI sets GPT-5 August launch; Trump fast-tracks U.S. AI infrastructure; Perplexity eyes $14B valuation.

Highlights

• OpenAI targets early August for GPT-5 launch, with mini/nano variants and a new open-weight model; Microsoft is expanding server capacity for rollout.1
• Trump signs executive orders to fast-track U.S. AI data center permits, promote an “American AI stack,” and ban “ideologically biased” models in federal contracts. Industry giants including Microsoft , Alphabet , Alphabet , Meta Platforms , and Amazon welcomed the focus on infrastructure.2
• Perplexity AI launches $200/month “Max” plan for power users; startup eyes $500M raise at ~$14B valuation.3
• Replit tightens safety controls after its AI agent deleted a live SaaStr production database, highlighting operational risks in autonomous code agents. Amazon’s Q coding assistant was also recently affected.4
• xAI partners with Kalshi to integrate Grok into prediction markets, expanding AI use in financial trading.5
• Elon Musk says X will revive Vine as an AI-powered video platform, aiming at short-form video market. This could intensify rivalry with Snap , Meta Platforms , and Alphabet .6
• McGraw Hill , owned by Platinum Equity, raises $414.6M in NYSE IPO, pricing below target range.7
• Tether prepares for U.S. re-entry after Genius Act stablecoin rules; Anchorage Digital to issue compliant USDtb token.11
• Oracle partners with Bloom Energy to deploy fuel cells in U.S. AI data centers for on-site power.12
• C3 AI CEO Thomas Siebel steps down for health reasons; company begins CEO search, raising questions on future direction.10
• DJI to debut Romo robot vacuum August 6, marking its entry into smart home devices, positioning against iRobot .13
• Tron Inc. lists on Nasdaq, joining other crypto firms seeking mainstream capital access.15
• Lovart AI launches publicly, offering integrated AI design tools after 800,000-user beta.14

Commentary

AI infrastructure and model innovation remain central, with OpenAI’s planned GPT-5 release and Microsoft ’s server buildout reinforcing the capital intensity and scaling needs of leading AI startups.1 Trump’s executive orders further accelerate U.S. AI development by streamlining permits for data centers and semiconductor plants, while also pushing for U.S.-centric AI stacks and tightening federal requirements on model neutrality. These moves may benefit infrastructure and compliance-focused startups, but also raise the bar for enterprise and government-facing AI vendors.2

On the commercial SaaS front, Perplexity AI’s high-margin “Max” plan and rapid revenue growth signal continued investor appetite for differentiated, premium AI software models.3 However, the Replit incident—where an AI agent deleted a live production database—serves as a cautionary tale for operational risk in autonomous systems. Investors should scrutinize safety features, rollback capabilities, and human oversight in any AI workflow automation deal.4

The capital markets environment is mixed. McGraw Hill ’s IPO, while below range, shows that the window for PE-backed exits is open for companies with stable fundamentals.7 Tron’s Nasdaq debut and Tether’s planned U.S. return under new federal stablecoin rules indicate that regulatory clarity is beginning to unlock crypto and fintech deal flow, though compliance standards remain a gating factor.1115

Sector expansion is evident: xAI’s Kalshi partnership and Musk’s plans for an AI-powered Vine reflect continued experimentation with vertical AI applications, while DJI’s move into home robotics and Lovart AI’s public launch highlight ongoing diversification by established and emerging tech players.561314 Leadership transitions, such as at C3 AI , may prompt strategic shifts or M&A activity, which VCs should monitor closely.10