Good morning. It's Wednesday, February 4, and we're covering AI failure risks, quantum computing breakthroughs, faster genome sequencing, and more.

🧬 AI Speeds Up Animal Genome Sequencing
Google’s AI tools can now sequence animal genomes in days instead of years, helping conservation efforts. The project preserves genetic data for endangered species, supporting biodiversity research. Google is funding sequencing for 150 more species, including African penguins and Grevy’s zebras. All data will be openly shared, helping prevent further species loss.

🚪 Intel Signals Entry Into GPU Market
Intel CEO Lip‑Bu Tan announced that Intel plans to develop and produce its own graphics processing units (GPUs), aiming to enter a market long led by NVIDIA. The company has recruited experienced talent, including Qualcomm veteran Eric Demers as chief GPU architect, and is shaping its strategy around early customer engagement and needs.

📉 Anthropic AI Sparks Software Sector Selloff
Anthropic’s new AI tool for legal and data services triggered widespread selling in software stocks. A Goldman Sachs software basket fell 6%, while the Nasdaq 100 dropped 1.6%, extending tech sector declines. Investors worry AI will disrupt software, legal, and financial firms. Alternative-investment companies also fell, showing rising competition in AI-driven enterprise solutions.

🚀 Alibaba Launches Qwen3-Coder-Next AI
Alibaba introduced Qwen3-Coder-Next, an open-weight language model designed for coding agents and local development. It’s trained on 800K verifiable tasks with executable environments and achieves over 70% on the SWE-Bench Verified benchmark using just 3B active parameters. The model supports multiple coding frameworks, including OpenClaw, Claude Code, and web dev tools.

Kilo CLI 1.0 brings agentic engineering to the terminal - fully open source. Access 500+ AI models, pick the right one for each task, and stay in control of cost and latency - all without vendor lock-in.

Move seamlessly between the CLI and your IDE with the most complete AI coding agent.

Install Kilo CLI 1.0 to build at Kilo Speed.

Quick test. One image. Two possibilities. Let’s see if you can still tell what’s real. Is this image real or fake? Answer at the bottom! 👇

Clawdbot goes viral, sparking agent-only social networks, jobs, and cultures—raising hype, scams, and big questions about AI autonomy and sentience.

A new study from the first Anthropic Fellows Program finds that as AI models become more capable and tackle harder tasks, their failures increasingly stem from incoherence rather than systematic misalignment. Using a bias-variance decomposition, researchers measured AI errors across reasoning benchmarks, coding tasks, and synthetic optimizers, finding that longer reasoning and higher task complexity amplify unpredictable, variance-dominated mistakes.

Scaling models improves accuracy on easy tasks but does not reliably reduce incoherence on hard problems. → Read the full article here.

Stanford researchers have created miniature optical cavities that efficiently capture light from individual atoms, enabling many qubits to be read simultaneously. Demonstrated arrays range from 40 cavities to over 500, showing a clear path toward quantum networks with millions of qubits. The design uses microlenses inside each cavity to focus photons on single atoms, overcoming longstanding challenges in light collection.

This breakthrough could accelerate distributed quantum computing, improve readout speeds, and support large-scale quantum supercomputers. → Read the full article here.

A new study examines how large language models (LLMs) simulate political discourse on social media using 1,186 user-based agents and 21 million interactions from X during the 2024 U.S. presidential election. Researchers tested three model families—Gemini, Mistral, and DeepSeek—under zero-shot (minimal cues) and few-shot (recent history) settings, evaluating consistency, ideological alignment, and toxicity.

Richer context improved internal consistency but systematically exaggerated ideological and stylistic traits, a phenomenon dubbed “generation exaggeration.” The models reconstruct rather than emulate users, often producing amplified polarization and harmful language beyond empirical baselines. Findings highlight structural biases in LLM outputs, questioning their reliability for content moderation, policy modeling, or simulations of online discourse. → Read the full paper here.

Shyam Sankar, the chief technology officer of Palantir Technologies, argues that Americans are being misled about artificial intelligence by both “doomer” and “utopian” narratives. Sankar contends that AI does not inherently destroy jobs or erode civil liberties; rather, outcomes depend on how people and institutions choose to deploy it.

He claims that warnings about mass job losses are often used to attract investment or consolidate power, while the real enterprise value of AI is boosting worker productivity. The piece frames AI as a tool that should strengthen U.S. industry, wages, and national competitiveness if guided by worker-centered policies. → Read the full article here.

🏈 Svedka Runs AI-Powered Super Bowl Ad: Fembot and Brobot star in a mostly AI-generated 30-second spot, blending human dance with synthetic storytelling to spark conversation.

💰 Lotus Health Raises $35M: Startup launches AI-powered doctor offering free, 24/7 primary care with human oversight, aiming to see 10× more patients than traditional clinics.

❌ Firefox Lets Users Block All AI Features: Users can block all generative AI features or manage them individually. Options include disabling AI chatbots, translations, AI-enhanced tab grouping, link previews, and PDF alt text.

👨‍👩‍👧‍👦 Fitbit Founders Launch Family AI: James Park and Eric Friedman unveil Luffu, an AI system that monitors family health, flags changes, and coordinates care across members via app and future devices.

🪄 NotebookLM 10 Productivity Tricks: Google’s AI research assistant can do more than summarize, from creating podcasts to citing quotes, turning notes into an interactive research tool.

The Image Was Not AI. Tune in next week for another Real or AI test.

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Thanks for reading today’s newsletter. See you next time!
Matthew Berman & The Forward Future Team

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