• Tencent launches Hy Image 3.5 Preview, saying during internal testing the image model achieved results on par with ByteDance's Seedream 5.0 Pro (Bloomberg)
• Alibaba CEO Eddie Wu says the company plans to train a 5T- to 10T-parameter AI model, as it lays out a sweeping push across AI models, chips, and data centers (Reuters)
• Alibaba's T-Head unveils the Zhenwu V900 AI accelerator, which it says triples its predecessor's performance and can scale to clusters of up to 500,000 units (Bloomberg)
• Source: Xbox plans to lay off hundreds of employees this week in its second major staff cut in 2026, as it also plans to consolidate several of its game studios (Aaron Holmes/The Information)
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• Shopify plans to allow Meta's Muse to complete purchases on behalf of users at Shopify-powered stores via its one-tap checkout service Shop Pay (Kelly Cloonan/Wall Street Journal)
• A researcher says a flaw in Meta's Muse app for Mac lets any app or terminal command gain access to the token that authenticates users to their Muse account (Dan Goodin/Ars Technica)
• British Columbia sues OpenAI for alleged safety violations and negligence for failing to flag the Tumbler Ridge shooting suspect's ChatGPT activity to police (Georgia Wells/Wall Street Journal)
• Xiaomi debuts open-weight omnimodal models MiMo-V2.6 Pro and Flash; Pro allegedly performs "on par with Opus 5 and GPT-5.6 Sol across most agent benchmarks" (Xiaomi)
• Some startups, like Harvey, Abridge, Ramp, and Rogo, are embracing open-weight models or training their own models to reduce expensive reliance on frontier labs (Bloomberg)
• Sources: SoftBank's SB Energy has delayed its IPO, originally planned for this month, as investors question the company's sought-after valuation of $50B+ (Maureen Farrell/New York Times)
• California Gov. Gavin Newsom signs seven bills aimed at regulating data centers, imposing new requirements on electricity costs, water use, and local oversight (Nichola Groom/Reuters)
• Sensor Tower: Muse was downloaded 902K+ times in the six days after its launch on Sept. 8, vs. Meta AI's 773K in the same post-launch period; META jumps 12%+ (Bloomberg)
• OpenAI says it is working with an independent advisory group of mathematicians to responsibly share math-related AI advances (OpenAI)
• Source: before the Hugging Face incident, OpenAI was negotiating a legally binding deal with Anthropic for the companies to stress-test each other's models (The Information)
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