This Week in AI and Technology
Welcome to this week’s edition of the NexaQuanta Newsletter. We bring you the latest developments at the intersection of artificial intelligence, business, and technology—carefully curated to keep you informed and ahead of the curve.
In this issue, Microsoft diversifies its AI stack by bringing Anthropic models into Office 365, while Amazon introduces Lens Live to make shopping more interactive.
Google rolls out AI-driven ad tools just in time for the holiday season.
Meanwhile, OpenAI and Oracle secure a $300 billion deal to build next-generation data centers, strengthening the foundation for future AI breakthroughs.
Microsoft Expands AI Strategy with Anthropic Partnership
Microsoft will soon use Anthropic’s AI models in Office 365 applications, according to The Information. This marks a shift from its long-standing reliance on OpenAI for productivity tools like Word, Excel, Outlook, and PowerPoint.
Blending AI Models
The company will integrate Anthropic’s Claude Sonnet 4 alongside OpenAI’s GPT-5. Developers testing the tools found Anthropic’s models perform better at automating financial functions in Excel and designing more visually appealing PowerPoint presentations.
Partnership Dynamics
Microsoft has invested over $13 billion in OpenAI but is now diversifying to meet rising demand. A spokesperson confirmed that OpenAI remains a key partner for frontier models.
Cloud and Access
To use Anthropic’s models, Microsoft will pay Amazon Web Services (AWS), which is also a major Anthropic shareholder. Pricing for Office AI tools will remain unchanged despite the new integration.
Why It Matters
The move signals Microsoft’s push to maximize AI output by mixing technologies from multiple providers while keeping costs steady for enterprise users.
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Amazon Unveils Lens Live to Power AI Shopping
Amazon has launched Lens Live, a real-time visual search tool in its shopping app. The feature enables customers to identify and purchase products instantly using their phone cameras.
How It Works
Users can point their camera at an item and see matches from Amazon’s catalog in a scrolling carousel. Products can be added to the cart or wish list without leaving the camera screen.
AI Integration
Lens Live includes Rufus, Amazon’s generative AI assistant. It provides product summaries and suggested questions, enabling shoppers to quickly compare items. The system utilizes AWS SageMaker and OpenSearch, combined with on-device computer vision, for fast and accurate results.
Availability
The feature is now available to tens of millions of iOS users in the U.S. Amazon plans to roll it out more widely soon.
Retail Context
Amazon grew its share of U.S. retail spending to 8.8% in Q2 2025. The launch comes as rivals like Ralph Lauren, Vivrelle, and eBay also add AI-driven shopping assistants.
Why It Matters
Lens Live positions Amazon at the forefront of AI-powered retail, making shopping more interactive and shortening the path from browsing to purchase.
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Google Rolls Out New AI Ad Tools for Holidays
Google has unveiled a suite of AI-powered marketing tools designed to help brands reach shoppers during the holiday season. The announcement highlights the growing role of artificial intelligence in digital advertising.
AI Max for Search Ads
A key feature is AI Max, now available globally in beta. It allows ads to appear alongside AI-generated search summaries, not just keyword-based queries. This opens opportunities in multi-intent searches, such as holiday decorating tips that could surface product ads.
YouTube and Visual Tools
Advertisers can now optimize YouTube campaigns by channel, including online, in-app, and in-store. Shoppable YouTube masthead ads promote specific products directly. Google also expanded its Product Studio, enabling bulk backdrop edits for product images and soon offering Imagen 4 for text-to-image campaign assets.
Loyalty and Personalization
New loyalty features in Performance Max and Standard Shopping let brands set retention goals and reward members with perks like discounts and faster shipping.
Why It Matters
These updates offer marketers more flexible ways to connect with shoppers, combining AI-driven creativity with targeted ads at a critical retail moment.
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OpenAI and Oracle Seal $300B Data Center Deal
OpenAI has signed a $300 billion agreement with Oracle to build advanced data centers across the U.S. over the next five years. The partnership is part of Project Stargate, aimed at supporting large-scale artificial intelligence development.
Scale of Investment
The deal covers more than half of OpenAI’s planned U.S. infrastructure. Oracle disclosed in a recent filing that it added over $317 billion in future contract revenue, sending its stock price up more than 40%.
Global Expansion
Construction has already started in Abilene, Texas, with additional sites planned. OpenAI is also building a massive AI complex in the United Arab Emirates in collaboration with Oracle, SoftBank, and Emirati AI firm G42. For every dollar invested in the UAE, G42 and partners will match the investment in U.S. data centers.
Industry Context
Tech giants, including Amazon, Google, Meta, and Microsoft, are expected to spend over $300 billion on data centers by the end of this year, highlighting the global race to secure AI infrastructure.
Why It Matters
The Oracle pact secures critical computing power for OpenAI while reinforcing the U.S. as a hub for large-scale AI infrastructure.
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