EU takes lead in AI regulation

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📑 EU cements lead role in AI regulation

💰 Generative AI to fuel a $4.4 trillion global economy

🤖 Google, Valentino set stakes in AI, AR virtual try-on

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EU cements lead role in AI regulation [Link]

The European Parliament approves the bloc’s landmark rules for AI - or the EU AI Act, the 1st comprehensive set of regulations for the AI industry - and thus clears a major roadblock for the formal regulation of AI in the West to be legislated.

The law will require generative AI systems such as ChatGPT to be reviewed prior to commercial release, along with a ban on real-time facial recognition.

The EU leads the global race among regulators toward getting a handle on AI and limiting its much-discussed risks to society, from job security to political integrity to misinformation, mainly by trying to “build safeguards” on the tech’s development and “ensure we have an innovation-friendly environment” to tap into benefits.

The next step after the winning Parliament vote is for negotiators at EU institutions, such as the EU executive body and 27 member states.

Crypto.com downs institutional exchange, keeps sports sponsorship deals [Link]

Citing limited demand, the SG-based Crypto.com suspends its institutional crypto exchange in the US yet maintains title sponsorship of the Los Angeles Lakers’ home arena for the NBA.

The closure, thought to affect 400 customers, is believed to involve challenging market conditions as well, with US authorities getting a firm grip on regulation around crypto asset trading and prompting many investors and exchanges to transfer their operations overseas.

Unaffected, however, are Crypto.com’s sports sponsorships:

• Its 20-year $700M naming rights deal with AEG to rename the venue previously known as the Staples Center

• Formula One title sponsor of the Miami Grand Prix

• A tie-up with the National Women’s Soccer League’s (NWSL) Angel City FC

• A partner for the 2022 Fifa World Cup

The sports industry is facing similar challenges, including the poor performance of NFT collectibles, sports stars and players facing lawsuits around these products, and sponsorships drying up amid the ongoing market downturn.

Generative AI to fuel a $4.4 trillion global economy [Link]

Two new reports highlight the significance of generative AI on the financial front: the potential of the technology to add $2.6 trillion to $4.4 trillion annually to the global economy, equivalent to 15-40% of the overall economic impact of AI.

The McKinsey report identifies banking, high-tech, and life sciences as the industries that could see the greatest impact, along with customer operations, marketing and sales, software development, and R&D as areas more prone to be influenced by generative AI.

AI's contribution to the global economy could reach an astonishing $15.7 trillion by 2030, reports PwC, with the fusion of generative AI with other tech potentially adding 0.2 to 3.3 percentage points annually to productivity growth.

PwC also cites the shift in investor interest from crypto to AI, with wide-ranging implications for business and society.

Wendy’s metaverse offers real chicken nuggets [Link]

Fast food giant Wendy's makes a bold move to establish its presence in the metaverse via Wendyverse, which comprises 4 distinct worlds:

• Buck Biscuit Dome challenged fans with a virtual basketball court, inspired by the Superdome in New Orleans.

• Sunrise City featured an obstacle course highlighting Wendy's breakfast offerings.

• Frosty Village brought the iconic Frosty dessert to life in a winter Olympics-inspired village.

• Spicy Nugg Island offered a tropical oasis with interactive games.

Wendyverse has so far achieved the highest DAU of any created world in Horizon Worlds, with 10K fans visiting within the first week and 16% returning. Furthermore, 15% of Wendyverse residents were new Horizon Worlds users, illustrating Wendy's success in attracting newbies.

Google, Valentino set stakes in AI, AR virtual try-on

On the fashion front, Google Shopping introduces two new features designed to help users better visualize how clothes will look on varying body types. Users in the US can now see how women’s tops from H&M, Anthropologie, Everlane, and Loft will look on a roster of real human models, while new filters help make finding clothes easier.

Meanwhile, Italian label Maison Valentino claims to be the 1st luxury brand to introduce virtual try-on for its ready-to-wear collections. Working with Farfetch-owned augmented reality app Wanna, Valentino lets customers virtually try on a curated selection of menswear pieces from its Autumn 2023 collection, with AR showcasing apparel “with the utmost realism” and a novel experience of trying on items before purchasing.

Quick Hits

🎮 Gaming

• Fledgling EU startup Versed, backed by Google’s Gradient, wants to help storytellers create video games using generative AI. (Link)

• Microsoft bets on cloud gaming with Xbox’s Starfield, an action RPG launching in September. (Link)

• With 60% of the region’s population as gaming enthusiasts, the Middle East emerges as a gaming powerhouse with a multibillion-dollar investment in the sector. (Link)

• South Korea's Krafton establishes its AI game subsidiary, ReLU Games, using deep learning for game creation. (Link)

• Discover Moonland metaverse filled with NFTs, exploration, and engaging in epic large-scale battles. (Link)

🕶 Fashion

• Fashion meets Fortnite? Louis Vuitton’s parent company joins forces with Epic Games to create virtual shows and fitting rooms in a new play for Gen Z’s attention. (Link)

• For its 75th anniversary, Puma debuts Black Station 2 as an expansion of its metaverse initiative that launched in Sept 2022. (Link)

• Digital fashion brand MNTGE founder Sean Wotherspoon sells out his vintage GAP collection in a day. (Link)

• A 1st look at the new Gucci Visions exhibit in Florence, staged at no less than the Gucci Garden. (Link)

• Meet the 24-year-old metaverse fashion designer who graduates top of her class and boasts a 750 GMAT. (Link)

🏀 Sports

• Nick Kyrgios, Naomi Osaka, and Steve Smith are investing in the “imaginary” Melbourne-based football league One Future Football (1FF), comprising 12 digital teams from around the world. (Link)

• Here’s AI reimagining Federer, Nadal, and other tennis stars as Pixar animated characters. (Link)

• In France, Pixellot launches the 1st smart sports city with 12 AI-automated sports production systems across various sporting clubs. (Link)

• How AI will be “smart enough” to change the course for professional sports - for the better. (Link)

• At the Tribeca Festival, web3 company OKX hosts a panel discussion with McLaren Racing to tackle how technology powers change in sports. (Link)

🎥 Media & Entertainment

• Texas bans kids from social media without parental consent. (Link)

• The UK government invests $190M (£150M) for film and TV AI special-effects research to futureproof the industry. (Link)

• Meta’s MusicGen is an AI-powered music generator that can turn a text description into 12 seconds of audio. (Link)

• Alpha Media launches a radio station with AI DJ, capitalizing on the voice and likeness of radio DJ Ashley Elzinga. (Link)

• The National Music Publishers' Association (NMPA) sues Twitter for $250M over “massive” copyright infringement. (Link)

• What is aespa’s net worth and who is the richest artist of the virtual K-pop group? (Link)

🖼 Art

• Unstoppable Domains launches NFT cars with MetaRides Racing. (Link)

• Generative Recolor, Adobe’s new Illustrator tool, uses generative AI to change color schemes in artwork. (Link)

• Animoca Brands' Mocaverse launches a custom NFT marketplace with Rarible to tackle community safety. (Link)

• NFPrompt embarks on NFT creation with AI. (Link)

• AI artist Vhey Preexa develops the tool Style Less Asian to counterbalance Asian features and culture in AI models. (Link)

🤖 AI

• Scientists reimagine AI using “hyperdimensional computing.” (Link)

• Google introduces new AI-powered travel and product search features. (Link)

• Marine researchers are diving into the world of AI to solve an invisible problem: noise pollution. (Link)

• AI won't destroy jobs forever, asserts Meta scientist Yann LeCun. (Link)

• With more hybrid workers and new office demands, here’s how AI is helping Zaha Hadid Architects and other firms change workplace design. (Link)

• Should investors hold off on buying AI stocks? (Link)

💸 Funding & Partnerships

• Hyundai Motor Group invests $1.02B (1.3 trillion won) in global startups focusing on electrification, AI, and autonomous driving. (Link)

• A month-old AI start-up founded by a trio of former Meta Platforms and Google researchers nets $113M (€105M) in funding. (Link)

• Synthesia secures $90M for AI that generates custom avatars. (Link)

• Salesforce Ventures leads $6M fundraise for NFT data platform Mnemonic. (Link)

• Entertainment startup Xavatar signs a deal with Fexco for metaverse payments. (Link)

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