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OpenAI Restructures for Possible IPO
Good morning. It’s Monday, May 12th.
On this day in tech history: 1997: A massive ransomware cyberattack, known as WannaCry, impacted over 200,000 computers across 140 countries. Originating from servers in China, it affected organizations like FedEx, the UK’s National Health Service, and Telefónica in Spain, highlighting vulnerabilities in global cybersecurity.
In today’s email:
OpenAI Restructure Enables IPO
Microsoft’s “Pages” AI
New Google AI Features
4 New AI Tools
Latest AI Research Papers
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Today’s trending AI news stories
Microsoft, OpenAI Rewrite Partnership to Enable IPO and Secure Post-2030 AI Access

Image: Vladyslav Podoliako
Microsoft and OpenAI are renegotiating the terms of their multibillion-dollar alliance as OpenAI seeks to convert its for-profit arm into a public benefit corporation and eventually go public. According to the Financial Times, a key sticking point is Microsoft’s equity stake in the restructured entity, which remains governed by OpenAI’s nonprofit board. Microsoft, having invested $13 billion, must approve the conversion. One proposal under discussion involves Microsoft trading a portion of its equity for extended access to OpenAI’s technologies beyond the current 2030 cutoff.
The talks also involve revisions to their 2019 contract. The balance of power has grown increasingly fraught as OpenAI’s enterprise offerings begin to encroach on Microsoft’s own AI product roadmap. Compounding matters is OpenAI’s Stargate initiative, a multibillion-dollar supercomputing project that signals an intent to scale infrastructure independently, potentially reducing reliance on Microsoft’s cloud stack. Read more.
Microsoft’s Pages brings ChatGPT-like collaboration without coding features
Microsoft has launched Pages, a new Copilot tool designed for collaborative writing and text refinement. Similar to ChatGPT’s Canvas, Pages allows users to directly edit AI-generated responses by selecting text and prompting modifications via an “Ask” button. While geared toward content iteration such as tweaking tone, expanding sections, or rewording ideas, it currently lacks coding capabilities.
📣 New feature alert! 📣
Meet Pages, your new editing BFF! No need to start from scratch - just hit "Edit this Response," highlight text, and tap "Ask" to tweak, expand, or polish your writing.
Use it now at msft.it/6010SnPwu
— Microsoft Copilot (@Copilot)
4:30 PM • May 8, 2025
Pages supports task-specific prompts like structured guides, goal-oriented schedules, or step-by-step planning, all formatted for checklists or time-based tracking. Read more.
Google's Creative Tools Get Smarter

“Gemma Journey” shows language models enable more dynamic in-game interactions. Image: Google
At the Game Developers Conference, Google unveiled its Gemma 3 model, enabling local, multimodal AI integration in games. Developers can use it for dynamic NPC interactions, with a Unity plugin for real-time dialogue. Google also highlighted Gemini 2.0 for cloud-based AI coaching in larger games.
New NotebookLM Features:

Image: Testing Catalog
Google’s NotebookLM is adding a “Video Overviews” feature, powered by Veo 2, to convert notebook content into short video summaries. The update also includes a new “Editor’s Picks” section for community-driven content. These features will launch alongside the mobile version for iOS and Android.
Neuron Synchronization Powers Sakana AI’s New Thought Machine
Sakana AI has launched the Continuous Thought Machine (CTM), a neural network that integrates neuron synchronization and timing to enhance decision-making. Unlike traditional AI models, which focus on single neuron outputs, the CTM leverages the precise timing of neuron activity, allowing for complex, multi-step reasoning. The model’s performance is demonstrated in tasks like maze-solving and image classification, where it exhibits human-like behavior, such as path-following in mazes and focusing attention on relevant image features.
Introducing Continuous Thought Machines
New Blog: sakana.ai/ctm/
Modern AI is powerful, but it’s still distinct from human-like flexible intelligence. We believe neural timing is key. Our Continuous Thought Machine is built from the ground up to use neural dynamics as
— Sakana AI (@SakanaAILabs)
2:10 AM • May 12, 2025
The CTM’s asynchronous nature allows it to reason about both static and sequential data effectively. The model’s behavior is emergent, based on neuron dynamics and synchronization, offering improved interpretability and efficiency in problem-solving tasks. This approach moves closer to replicating brain-like processes, marking a step forward in AI's integration with biological insights. Read more.

Tencent's Open-Source Tool Powers Multi-Subject Video Creation
Bytedance’s Agent TARS Handles Real-Time, Complex MacOS Tasks
Junior lawyers would ‘riot’ if AI tool taken away: PwC partner
Deepseek-R1 triggers boom in reasoning-enabled language models
Nearly 20 million jobs are on the chopping block to be replaced by AI, SHRM research shows
Microsoft study breaks down tradeoffs between API and GUI agents
China's Baidu looks to patent AI system to decipher animal sounds
New Lego-building AI creates models that actually stand up in real life
Pope Leo XIV lays out vision of papacy and identifies AI as a main challenge for humanity
SoundCloud changes policies to allow AI training on user content
Meta Is recruiting former Pentagon officials as it ramps up military ambitions

4 new AI-powered tools from around the web

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