AI News Roundup — March 25, 2026
OpenAI shut down its Sora video platform and Disney deal, Arm and Meta unveiled what they call the first AGI CPU, and Anthropic launched auto mode for Claude Code enabling autonomous task execution with built-in safety guardrails.
OpenAI Shuts Down Sora Video Platform
OpenAI killed the Sora app and its Disney partnership, saying goodbye to the video generation platform and thanking everyone who created with it. The shutdown marks a surprising retreat from one of OpenAI's most high-profile product launches and raises questions about the viability of standalone AI video generation tools in a rapidly evolving market.
Arm and Meta Unveil First AGI CPU
Arm and Meta unveiled what is being called the first-ever AGI CPU — a chip designed specifically for artificial general intelligence workloads. The announcement signals a new hardware paradigm beyond GPUs for the next generation of AI systems and could reshape the competitive landscape for AI-specific silicon.
Anthropic Launches Auto Mode for Claude Code
Anthropic introduced auto mode for Claude Code, allowing it to execute tasks with fewer manual approvals while built-in safeguards review each action for destructive behavior before running automatically. The company also expanded Claude's computer use and Dispatch capabilities, enabling AI agents to autonomously perform tasks across a user's system in what is being described as a major leap in practical agentic AI deployment.
Nvidia-Backed Reflection AI Eyes $25 Billion Valuation
Nvidia-backed startup Reflection AI is in talks to raise $2.5 billion at a $25 billion valuation, according to the Wall Street Journal. The company joins a growing cohort of AI startups reaching astronomical valuations as enterprise demand for AI infrastructure and applications continues to surge.
Google Releases TurboQuant for 6x LLM Memory Compression with Zero Accuracy Loss
Google released TurboQuant, a new compression algorithm that reduces LLM key-value cache memory by at least 6x and delivers up to 8x inference speedup with zero accuracy loss. The technique enables powerful language models to run locally on resource-constrained devices like a 16GB Mac Mini or smartphones, dramatically expanding the reach of on-device AI.
Meta Offers Stock Options Tied to $9 Trillion Market Cap Target
Meta is introducing a stock option program that pays top executives only if the company reaches a $9 trillion market capitalization by 2031, offering stock options for the first time since its 2012 IPO. The aggressive target reflects Meta's confidence in its AI-driven growth trajectory and its determination to retain leadership talent in the intensely competitive AI race.
LiteLLM Supply Chain Attack Hits 97 Million Downloads
A supply chain attack targeting LiteLLM, a popular AI proxy library with 97 million downloads, was discovered. The incident highlights the growing cybersecurity risks in AI toolchains as enterprises rapidly adopt open-source AI infrastructure without sufficient security vetting of dependencies.