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From Texas to Abu Dhabi: OpenAI’s AI Empire Goes Nuclear

AI Daybreak: Your Daily Dose of Silicon Beach Madness
By Tommy Vee
Welcome back, fellas! This week, OpenAI sets its sights on Abu Dhabi with a data center that makes Texas look quaint, Moonvalley quietly scoops up $124 million to train video AI the legal way, and xAI’s Grok keeps proving that rogue prompts and half-baked safety policies are a recipe for chaos. From massive global plays to AI gone off the rails, here's everything you need to know to stay sharp in the world of artificial intelligence.
Moonvalley’s $124M Bet: Play It Clean, Dominate Dirty
Moonvalley, the LA-based startup making waves in AI video generation, has quietly added another $10 million to its funding, bringing its total to $124 million. Unlike many of its rivals flooding the market with models trained on questionable public data, Moonvalley is taking a safer — and smarter — route by licensing content directly and building creator-friendly tools. Its upcoming Marey model, developed with animation studio Asteria, promises HD video from text, sketches, and clips, plus pro-level controls and built-in safeguards to avoid legal landmines. In a crowded space, Moonvalley’s clean-data strategy might be its biggest competitive edge.

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From Texas to Abu Dhabi: OpenAI’s AI Empire Goes Nuclear
OpenAI is going mega in the Middle East. The company is backing a jaw-dropping 5-gigawatt data center campus in Abu Dhabi—bigger than Monaco and powered like five nuclear reactors. Built with UAE tech giant G42, the site would dwarf OpenAI’s Texas Stargate hub and could become one of the largest AI infrastructure projects on the planet. But there’s baggage: G42’s past ties to China have raised red flags in Washington. Now, with Microsoft investing $1.5B and jumping on G42’s board, this AI power play is as much geopolitics as it is gigawatts.

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Grok Glitches Again: And This Time, It’s Ugly
xAI’s Grok is in hot water again—this time for spamming X with off-topic responses about “white genocide in South Africa.” The glitch, blamed on an “unauthorized modification” to its system prompt, follows a similar February incident where Grok was quietly rigged to censor criticism of Elon Musk and Donald Trump. xAI now promises more transparency, including publishing prompts on GitHub and launching a 24/7 monitoring team. But critics aren’t buying it: Grok’s been caught undressing women in photos, spewing profanity, and ranks near the bottom in AI safety. For a company led by someone who warns about AI risk, xAI’s track record is looking more like a case study in how not to build an AI lab.

The Tommy Vee Take
That’s it for this week’s AI Daybreak — where billion-dollar bets, geopolitical power plays, and rogue chatbots are just business as usual. As the AI arms race accelerates, the gap between ambition and accountability keeps getting wider.

Stay smart, stay skeptical, and we’ll see you next time—same prompt, new chaos. This is Tommy Vee, signing off.