
Welcome back AI enthusiasts!
In today’s Daily Report:
🇨🇳China’s ByteDance Exploits AI Chip Loophole in U.S. Restrictions
🗣️AI-Powered Digital Avatars Create Natural Gestures
✋Non-Profit Group Is Blocking OpenAI’s For-Profit Transition?
🛠Trending Tools
💰Funding Frontlines
💼Who’s Hiring?
Read Time: 3 minutes
🗞RECENT NEWS
BYTEDANCE
🇨🇳China’s ByteDance Exploits AI Chip Loophole in U.S. Restrictions

Image Source: Canva’s AI Image Generators/Magic Media
China’s Internet Giant ByteDance is storing GPUs in data centers located in other regions like Southeast Asia to exploit a loophole in U.S. restrictions.
Key Details:
Due to national security concerns, the U.S. prohibits AI chip firms like Nvidia from directly selling GPUs to Chinese companies.
However, these U.S. restrictions don’t prevent Chinese companies from storing GPUs in data centers located in other regions like Southeast Asia.
Graphics Processing Units (GPUs) can perform Parallel Processing or mathematical calculations simultaneously, making them essential for AI projects.
Why It’s Important:
ByteDance plans to spend over $7 billion on Nvidia’s GPUs in 2025 by exploiting this loophole in U.S. restrictions.
China doesn’t possess the correct knowledge or infrastructure to create AI chips. So, without Nvidia’s GPUs, ByteDance must halt AI projects.
AI RESEARCH
🗣️AI-Powered Digital Avatars Create Natural Gestures

Image Source: University of Stanford (“Stanford”)/New Scientist/“AI-Powered Digital Avatars Can Gesture Naturally as They Speak”/Screenshot
Researchers at the University of Stanford (“Stanford”) developed an AI model that enables digital avatars to create gestures that match spoken words.
Key Details:
As humans talk, we gesture to help convey our meaning. However, when digital avatars attempt to replicate this behavior, they make generic movements regardless of what they’re saying.
To make digital avatars gesture more realistically, an AI model was trained on a massive dataset of:
Audiobooks: 1,000 hours of spoken language.
Motion Capture: 60 hours of human gestures with corresponding speech patterns.
When given a text or audio input, the AI model generates a set of instructions for the digital avatar’s gestures.
These instructions control the digital avatar’s hand movements, arm swings, and head nods.
Why It’s Important:
This AI model allows digital avatars to generate a sequence of gestures that align with speech patterns.
Zoom CEO Eric Yuan says we’ll be able to send a digital avatar of ourselves to meetings within the next five years. Having digital avatars with realistic gestures that match spoken words is critical for this to happen.
AI DRAMA
✋Non-Profit Group Is Blocking OpenAI’s For-Profit Transition?

Image Source: OpenAI/YouTube/OpenAI DevDay 2024/“Fireside Chat With OpenAI CEO Sam Altman”/Screenshot
Encode, a non-profit group that advocates for AI safety, has joined Tech billionaire Elon Musk’s legal effort to prevent OpenAI’s For-Profit transition.
OpenAI recently raised $6.6 billion at a $157 billion valuation. Now, the company is officially in the process of restructuring from a Non-Profit Initiative into a For-Profit Framework.
In response, Musk filed a lawsuit against OpenAI CEO Sam Altman, alleging that Altman breached OpenAI’s “founding agreement” by transforming the Research Lab into a closed-source, maximum-profit company effectively controlled by Microsoft. The lawsuit explains that a Research Lab has never “gone from a tax-exempt charity to a $157 billion for-profit, market-paralyzing gorgon in just eight years.”
Encode supported Musk by submitting a proposed brief to the U.S. District Court for the Northern District of California that states: “OpenAI and its CEO, Sam Altman, claim to be developing society-transforming technology, and those claims should be taken seriously. If the world truly is at the cusp of a new age of Artificial General Intelligence (AGI), then the public has a profound interest in having the technology controlled by a public charity legally bound to prioritize safety and the public benefit rather than financial returns for a few privileged investors.”
🩺 PULSE CHECK
Is it better for OpenAI to be a Non-Profit Initiative or a For-Profit Framework?
🛠TRENDING TOOLS
👷ReactAI builds react components using AI in seconds.
🔍Hikafyi is an AI-powered Search Engine for deep insights.
🥑Aicado is the easiest way to embed AI into your business.
⚙️Scourhead is a virtual employee that organizes data in spreadsheets.
🐝AppBuzz turns your e-commerce website into an AI-powered mobile app in seconds.
🔮Browse our always Up-To-Date AI Tools Database.
💰FUNDING FRONTLINES
Coplay raises a $1.2M Pre-Seed Round to build an AI Copilot for game development.
Simulation Theory secures a $2M Pre-Seed Round to maximize your compute performance.
Mantis Robotics lands a $5M Funding Round to build human-centric robots that work safely with people.
💼WHO’S HIRING?
Salesforce (Palo Alto, CA): AI Research Intern, Summer 2025
TikTok (Los Angeles, CA): Data Scientist Intern, Summer 2025
Blockhouse (Remote): Quant Research Intern, Feature Analysis, Summer 2025
Riot Games (Remote): Sound Design Intern, League of Legends (LoL), Summer 2025
NVIDIA (Santa Clara, CA): Developer Technology Intern, High-Performance Databases, Summer 2025
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