Greetings team, Today’s edition covers a wild week in the AI world: Kimi K2 just outperformed every major model, signaling how fast Chinese open-source systems are advancing while keeping costs dramatically lower. Anthropic is now on track to hit profitability years ahead of OpenAI, and a new Silicon Valley-backed startup is raising the question none of us expected so soon: Would you edit your future baby’s DNA? Let’s dive in—and stay curious.
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Anthropic to be Profitable before OpenAI
Anthropic and OpenAI are on wildly different financial paths. New documents show Anthropic is set to break even by 2028, while OpenAI expects $74B in operating losses that same year, about 75% of revenue driven by massive chip and data-center spending. OpenAI plans to burn 14× more cash than Anthropic before reaching profitability in 2030, fueled by Sam Altman’s push for scale and $1.4T in long-term compute commitments. Anthropic, valued at $183B vs. OpenAI’s $500B, is growing its business more efficiently by focusing on corporate customers (80% of revenue) and avoiding compute-heavy ventures like video generation. In 2024, both companies burned roughly 70% of revenue, but Anthropic’s burn rate drops to 9% by 2027, while OpenAI’s remains high. OpenAI is betting big that demand will justify its infrastructure buildout, spending nearly $100B on backup data-center capacity alone, while Anthropic opts for steadier, revenue-aligned growth.
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Kimi K2 AI Model Beats all other LLMS
Moonshot’s new Kimi K2 Thinking, just changed the AI landscape. The fully open-source model is now outperforming GPT-5, Claude Sonnet 4.5, and Grok-4 on major benchmarks in reasoning, coding, retrieval, and agentic tool use. Built as a 1T-parameter MoE (32B active), K2 Thinking scores 44.9% on HLE, 60.2% on BrowseComp, and 71.3% on SWE-Bench. Verified all frontier-level results. It supports 256k context, native INT4 inference, and long autonomous tool chains (200–300+ calls), while staying far cheaper than closed models. Moonshot released it under a modified MIT license, making it one of the most permissive high-end models available. The breakthrough marks a turning point: open-weight systems are now matching and in many cases beating proprietary giants like OpenAI and Anthropic. At a time when U.S. labs face scrutiny over trillion-dollar compute spending, K2 Thinking shows that frontier AI doesn’t require massive capital infrastructure, just efficient architectures. For enterprises, it raises a blunt question: why pay for closed APIs when a free open model now leads the benchmarks? 🧰 AI Tools of The Day
Would You Edit Your Future Baby’s DNA?
A Silicon Valley startup called Preventive, backed by Sam Altman and Coinbase CEO Brian Armstrong, is researching whether gene-editing human embryos can safely prevent hereditary diseases, sparking fierce ethical and legal debate. The company has raised $30 million and is studying CRISPR-based embryo editing in San Francisco, even though implanting a gene-edited embryo is illegal in the US and banned in most countries. Preventive says it isn’t trying to create a baby now, only to prove the technology can be made safe, but critics warn it risks sliding into “designer baby” territory and eugenics. Some insiders say the startup has explored doing future trials in countries with looser rules, while supporters argue it could one day eliminate devastating genetic disorders like cystic fibrosis or sickle-cell disease. 🚀 Showcase Your Innovation in the Premier Tech and AI Newsletter (link) As a vanguard in the realm of technology and artificial intelligence, we pride ourselves in delivering cutting-edge insights, AI tools, and in-depth coverage of emerging technologies to over 55,000+ tech CEOs, managers, programmers, entrepreneurs, and enthusiasts. Our readers represent the brightest minds from industry giants such as Tesla, OpenAI, Samsung, IBM, NVIDIA, and countless others. Explore sponsorship possibilities and elevate your brand's presence in the world of tech and AI. Learn more about partnering with us. You’re a free subscriber to Yaro’s Newsletter. For the full experience, become a paying subscriber. Disclaimer: We do not give financial advice. Everything we share is the result of our research and our opinions. Please do your own research and make conscious decisions.
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Tuesday, November 11, 2025
💰Anthropic to be Profitable before OpenAI
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