AI TAKEOVER
Your Week in Tech: Key Stories You Might Have Missed
Welcome back to your weekly tech roundup! Elon Musk makes headlines again with xAI’s acquisition of X, leaked documents reveal troubling allegations about a16z-backed startup 11x, and a mysterious Severance-inspired device appears on Apple’s website. Let’s jump into the biggest stories of the week.
Elon Musk Merges xAI and X in Major Stock Deal
On Friday, Elon Musk announced that xAI has acquired X (formerly Twitter) in an all-stock transaction, valuing the AI startup at $80 billion and X at $33 billion. In his post, Musk framed the merger as a strategic move to combine resources: “Today, we officially take the step to combine data, models, compute power, distribution, and talent.” Critics are already questioning how this will impact X’s already volatile trajectory.
11x Accused of Inflating Numbers as Financial Struggles Surface
Behind the sleek facade of 11x—a startup backed by heavyweights Andreessen Horowitz (a16z) and Benchmark—lies turmoil. Over 20 sources, including investors and former employees, allege that the company exaggerated growth metrics and obscured its financial instability. One former employee put it bluntly: “They absolutely massaged the numbers internally when it came to growth and churn.” Now, questions loom about investor confidence and whether due diligence fell short.
Block Lays Off Nearly 1,000 Employees Amid Restructuring
Block, the parent company of Cash App and Square, is cutting 8% of its workforce—roughly 931 employees—in what CEO Jack Dorsey called an “org restructuring.” In a leaked memo, Dorsey insisted the layoffs weren’t financially motivated or an AI-driven replacement strategy. Still, skeptics wonder if this signals deeper turbulence for the fintech giant.
Quick Headlines You Shouldn’t Miss 🇺🇸 Trump Pardons Disgraced Nikola Founder
Image Credits: Victor J. Blue/Bloomberg / Getty Images
Trevor Milton, the convicted fraudster behind the notorious hydrogen truck startup Nikola, received a surprise presidential pardon just weeks after his company filed for bankruptcy. Critics argue the move undermines accountability in corporate fraud cases.
🇨🇳 China’s AI-Powered Censorship Goes Next-Level
A leaked database reveals China’s AI tools now target far more than Tiananmen Square references—expanding censorship beyond historical taboos into real-time online discourse.
🚗 Rivian’s Secret Project Spins Out with $105M Funding
The EV maker’s stealth skunkworks project, now rebranded as Also, secured fresh funding from Eclipse Ventures and will operate independently.
🍎 Apple’s WWDC 2025 Set for June 9 – Big Changes Coming
Rumors suggest iOS 19 may bring the iPhone’s biggest redesign in years, alongside major Mac and iPad updates.
🧬 23andMe Files for Bankruptcy as CEO Exits
The DNA-testing pioneer’s downfall continues as Anne Wojcicki steps down—while warning users their data might not be secure. (Pro tip: Here’s how to delete yours.)
🎮 Nintendo’s Next Move? Virtual Game Cards for the Switch 2
At Nintendo Direct, the company teased downloadable games that could be transferred across devices—potentially shaking up digital ownership.
📺 Apple’s Website Features a Severance Easter Egg
Fans of the hit show spotted the eerie Lumon Terminal Pro listed on Apple’s site—was this a marketing stunt or just a coincidence?
The AI Copyright Debate Heats Up
Image Credits: Eugene Gologursky/The New York Times / Getty Images
OpenAI’s new image generator sparked controversy this week as users flooded social media with Studio Ghibli-style AI art. While some see it as a creative experiment, others—like Ghibli co-founder Hayao Miyazaki, who once called AI “an insult to life”—view it as exploitation.
Legal experts warn that while copying an art style isn’t illegal, OpenAI’s use of copyrighted material to train its models sits in a legal gray area.
“This keeps bringing us back to the same question,” says IP lawyer Evan Brown. “What happens when AI companies scrape the web and repurpose creative work without consent?”
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(And if you’ve never seen Severance, trust me—you’re not the only one. Everyone says we’re missing out.)
