Apple's Google-powered AI

Hi, you’re receiving our free Tech In Brief newsletter because you had been getting one of Bloomberg’s technology newsletters that are now subscriber-only. You can manage your subscriptions here.

Tech Across the Globe

Yearlong DeepSeek moment: Enthusiasm about homegrown AI technologies has been the single biggest driver of China’s equities bull run since April, even as the world’s second-largest economy remained mired in a housing slump and anemic consumption. The momentum may gain further support in the coming months as DeepSeek rolls out a new AI model.

iPhone wins in China: Apple had a huge holiday quarter with the iPhone 17 in China, leading the market and rebounding with 28% growth in shipments. That’s despite a deepening memory chip supply issue that’s hitting entry-level phones particularly hard.

Anthropic + Sequoia: Sequoia Capital is planning a “big investment” in Anthropic, the artificial intelligence startup behind the chatbot Claude, according to the Financial Times. Anthropic is raising $10 billion at a valuation of $350 billion, with GIC and Coatue planning to lead the new round.

Musk seeks OpenAI billions: Elon Musk wants OpenAI and Microsoft to pay him damages in the range of $79 billion to $134 billion over his claims that the generative AI company defrauded him by abandoning its nonprofit roots and partnering with the software giant.

Revalued

Database tech startup ClickHouse has raised $400 million in a new funding round that values the company at $15 billion — more than double its valuation less than a year ago. ClickHouse, which was spun out more than four years ago from Yandex NV, develops database software that companies can use as they develop AI agents.

Must Read

Apple’s decision to rely on Google’s Gemini to underpin its iPhone and Siri AI systems seems like an admission of defeat, Austin Carr writes. He looks back on Apple’s struggles to bring the new technology to its products and assesses the long-term implications of the newly announced Google deal in today’s Tech In Depth essay.

Get Tech In Depth and more Bloomberg Tech newsletters in your inbox:

• Cyber Bulletin for coverage of the shadow world of hackers and cyber-espionage
• Game On for diving deep inside the video game business
• Power On for Apple scoops, consumer tech news and more
• Screentime for a front-row seat to the collision of Hollywood and Silicon Valley
• Soundbite for reporting on podcasting, the music industry and audio trends
• Q&AI for answers to all your questions about AI