Stay Ahead, Stay ONMINE

AI lie detector: How HallOumi’s open-source approach to hallucination could unlock enterprise AI adoption

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More In the race to deploy enterprise AI, one obstacle consistently blocks the path: hallucinations. These fabricated responses from AI systems have caused everything from legal sanctions for attorneys to companies being forced to honor fictitious policies.  […]

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More


In the race to deploy enterprise AI, one obstacle consistently blocks the path: hallucinations. These fabricated responses from AI systems have caused everything from legal sanctions for attorneys to companies being forced to honor fictitious policies. 

Organizations have tried different approaches to solving the hallucination challenge, including fine-tuning with better data, retrieval augmented generation (RAG), and guardrails. Open-source development firm Oumi is now offering a new approach, albeit with a somewhat ‘cheesy’ name.

The company’s name is an acronym for Open Universal Machine Intelligence (Oumi). It is led by ex-Apple and Google engineers on a mission to build an unconditionally open-source AI platform.

On April 2, the company released HallOumi, an open-source claim verification model designed to solve the accuracy problem through a novel approach to hallucination detection. Halloumi is, of course, a type of hard cheese, but that has nothing to do with the model’s naming. The name is a combination of Hallucination and Oumi, though the timing of the release close to April Fools’ Day might have made some suspect the release was a joke – but it is anything but a joke; it’s a solution to a very real problem.

“Hallucinations are frequently cited as one of the most critical challenges in deploying generative models,” Manos Koukoumidis, CEO of Oumi, told VentureBeat. “It ultimately boils down to a matter of trust—generative models are trained to produce outputs which are probabilistically likely, but not necessarily true.”

How HallOumi works to solve enterprise AI hallucinations 

HallOumi analyzes AI-generated content on a sentence-by-sentence basis. The system accepts both a source document and an AI response, then determines whether the source material supports each claim in the response.

“What HallOumi does is analyze every single sentence independently,” Koukoumidis explained. “For each sentence it analyzes, it tells you the specific sentences in the input document that you should check, so you don’t need to read the whole document to verify if what the [large language model] LLM said is accurate or not.”

The model provides three key outputs for each analyzed sentence:

  • A confidence score indicating the likelihood of hallucination.
  • Specific citations linking claims to supporting evidence.
  • A human-readable explanation detailing why the claim is supported or unsupported.

“We have trained it to be very nuanced,” said Koukoumidis. “Even for our linguists, when the model flags something as a hallucination, we initially think it looks correct. Then when you look at the rationale, HallOumi points out exactly the nuanced reason why it’s a hallucination—why the model was making some sort of assumption, or why it’s inaccurate in a very nuanced way.”

Integrating HallOumi into Enterprise AI workflows

There are several ways that HallOumi can be used and integrated with enterprise AI today.

One option is to try out the model using a somewhat manual process, though the online demo interface

An API-driven approach will be more optimal for production and enterprise AI workflows. Manos explained that the model is fully open-source and can be plugged into existing workflows, run locally or in the cloud and used with any LLM.

The process involves feeding the original context and the LLM’s response to HallOumi, which then verifies the output. Enterprises can integrate HallOumi to add a verification layer to their AI systems, helping to detect and prevent hallucinations in AI-generated content.

Oumi has released two versions: the generative 8B model that provides detailed analysis and a classifier model that delivers only a score but with greater computational efficiency.

HallOumi vs RAG vs Guardrails for enterprise AI hallucination protection

What sets HallOumi apart from other grounding approaches is how it complements rather than replaces existing techniques like RAG (retrieval augmented generation) while offering more detailed analysis than typical guardrails.

“The input document that you feed through the LLM could be RAG,” Koukoumidis said. “In some other cases, it’s not precisely RAG, because people say, ‘I’m not retrieving anything. I already have the document I care about. I’m telling you, that’s the document I care about. Summarize it for me.’ So HallOumi can apply to RAG but not just RAG scenarios.”

This distinction is important because while RAG aims to improve generation by providing relevant context, HallOumi verifies the output after generation regardless of how that context was obtained.

Compared to guardrails, HallOumi provides more than binary verification. Its sentence-level analysis with confidence scores and explanations gives users a detailed understanding of where and how hallucinations occur.

HallOumi incorporates a specialized form of reasoning in its approach. 

“There was definitely a variant of reasoning that we did to synthesize the data,” Koukoumidis explained. “We guided the model to reason step-by-step or claim by sub-claim, to think through how it should classify a bigger claim or a bigger sentence to make the prediction.”

The model can also detect not just accidental hallucinations but intentional misinformation. In one demonstration, Koukoumidis showed how HallOumi identified when DeepSeek’s model ignored provided Wikipedia content and instead generated propaganda-like content about China’s COVID-19 response.

What this means for enterprise AI adoption

For enterprises looking to lead the way in AI adoption, HallOumi offers a potentially crucial tool for safely deploying generative AI systems in production environments.

“I really hope this unblocks many scenarios,” Koukoumidis said. “Many enterprises can’t trust their models because existing implementations weren’t very ergonomic or efficient. I hope HallOumi enables them to trust their LLMs because they now have something to instill the confidence they need.”

For enterprises on a slower AI adoption curve, HallOumi’s open-source nature means they can experiment with the technology now while Oumi offers commercial support options as needed.

“If any companies want to better customize HallOumi to their domain, or have some specific commercial way they should use it, we’re always very happy to help them develop the solution,” Koukoumidis added.

As AI systems continue to advance, tools like HallOumi may become standard components of enterprise AI stacks—essential infrastructure for separating AI fact from fiction.

Shape
Shape
Stay Ahead

Explore More Insights

Stay ahead with more perspectives on cutting-edge power, infrastructure, energy,  bitcoin and AI solutions. Explore these articles to uncover strategies and insights shaping the future of industries.

Shape

Groundcover grows funding for eBPF-based observability tech

Groundcover’s expanded eBPF approach goes beyond traditional network monitoring, Azulay said: “eBPF is no longer just about network monitoring. We use it as an x-ray into operations flowing through the kernel of the operating system.”  Groundcover uses eBPF to provide full application-level traces. Azulay explained that the system can see the

Read More »

Department of Energy Overhauls Policy for College and University Research, Saving $405 Million Annually for American Taxpayers

WASHINGTON– The Department of Energy (DOE) today announced a new policy action aimed at halting inefficient spending by colleges and universities while continuing to expand American innovation and scientific research. In a new policy memorandum shared with grant recipients at colleges and universities, DOE announced that it will limit financial support of “indirect costs” of DOE research funding to 15%. This action is projected to generate over $405 million in annual cost savings for the American people, delivering on President Trump’s commitment to bring greater transparency and efficiency to federal government spending. “The purpose of Department of Energy funding to colleges and universities is to support scientific research – not foot the bill for administrative costs and facility upgrades,” U.S. Secretary of Energy Chris Wright said. “With President Trump’s leadership, we are ensuring every dollar of taxpayer funding is being used efficiently to support research and innovation – saving millions for the American people.” Through its grant programs, the Department provides over $2.5 billion annually to more than 300 colleges and universities to support Department-sanctioned research. A portion of the funding goes to “indirect costs”, which include both facilities and administration costs. According to DOE data, the average rate of indirect costs incurred by grant recipients at colleges and universities is more than 30%, a significantly higher rate than other for profit, non-profit and state and local government grant awardees. Limiting these costs to a standard rate of 15% will help improve efficiency, reduce costs and ensure proper stewardship of American taxpayer dollars. Full memorandum is available here: POLICY FLASH DATE: April 11, 2025 SUBJECT: Adjusting Department of Energy Grant Policy for Institutions of Higher Education (IHE)  BACKGROUND: Pursuant to 5 U.S.C. 553(a)(2), the Department of Energy (“Department”) is updating its policy with respect to Department grants awarded to institutions

Read More »

TC Energy Rules Out Sale of Canadian Mainline Pipeline

TC Energy Corp. Chief Executive Officer Francois Poirier ruled out selling the Canadian Mainline natural gas pipeline — which stretches across most of the country — as the trade war with the US pushes energy security up Canadian politicians’ priority list. President Donald Trump’s tariffs and repeated taunts about annexing Canada have highlighted the country’s vulnerability in relying on a crude pipeline that crosses through the US to supply oil for the eastern provinces’ refineries. Both of the main political parties seeking power in this month’s election have discussed the need to reduce reliance on the pipeline that goes through the Midwest.  The Mainline stretches more than 14,000 kilometers (8,700 miles) from energy-producing Alberta to major population centers in Ontario and Quebec while remaining entirely within Canada’s borders. TC Energy had once proposed converting the line from natural gas to oil before the project, known as Energy East, was abandoned amid opposition, primarily in Quebec.  TC Energy last year split off its oil pipelines into a separate company and is now focused on natural gas transportation and power generation, making the Mainline one of its marquee assets. That makes converting or selling the pipeline something the company won’t consider, Poirier said. “We have a very large group of natural gas shippers with whom we have contractual obligations to deliver natural gas for, in some cases, many more decades,” Poirier said in an interview Thursday in Toronto. “Given that all of our capacity is contracted, legally speaking, we wouldn’t be able to consider a conversion of some of our existing infrastructure to oil service.”   WHAT DO YOU THINK? Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed. MORE FROM THIS

Read More »

Oil Rebounds but Weekly Losses Continue

Oil rebounded on Friday, but still notched its second straight weekly decline as the escalating trade war between the world’s two largest economies drove wild volatility. West Texas Intermediate futures advanced 2.4% to settle at $61.50 a barrel after China raised its tariffs on all US goods to 125%, but said it will pay no attention to further hikes from Washington. Equities rebounded as a selloff in longer-term Treasuries abated, helping buoy the commodity later in the session. The conflict between China and the US has triggered frantic selloffs in stocks, bonds and commodities on concerns the dispute will reduce global growth. The US Energy Information Administration has slashed its forecasts for crude demand this year by almost 500,000 barrels a day, and oil market gauges further along the futures curve are pointing to an oversupply. Oil has retreated about 14% in April, also hurt by an OPEC+ decision to bring back output more quickly than expected. The US levies include a punitive 145% charge on imports from China, which has retaliated with its own tariffs as ties between the two superpowers come under immense strain. US Energy Secretary Chris Wright said on Bloomberg Television on Friday that the market’s recent selloff is overblown, as the US will ultimately have a stronger economy under President Donald Trump. He added that he expects to see higher volumes of US crude and natural gas liquids produced under the current president. Oil’s retreat has led to declines in associated products, with US gasoline futures dropping almost 3% this week. “High-level economic uncertainty is challenging for a macro-sensitive commodity such as oil, and we expect prices will remain under pressure,” BMI, a unit of Fitch Solutions, said in a note. In addition, “we currently factor in a continued, gradual unwinding of the OPEC+ production

Read More »

Viking CCS pipeline wins planning consent

A pipeline that will be used to transport carbon to be buried in a depleted North Sea gas field has been awarded planning consent. An application for the Viking CCS pipeline submitted by energy firm Harbour Energy was granted official development consent by the Secretary of State for Energy Security and Net Zero. The 34-mile (55km) pipeline between Immingham and the Theddlethorpe gas terminal on the Lincolnshire coast is a key plank in the project, which is one of the UK’s so-called “track 2” CCS projects awaiting further support from government. The other is Acorn at Peterhead. Its backers have estimated the project could unlock £7 billion of investment across the Humber region by 2035, with 10,000 jobs during construction and £4bn in economic value forecast by the end of the decade. The consent marks some progress as concern grows that delays to CCS plans may risk the UK failing to meet net zero targets. Harbour had initially envisaged making a final investment on the Viking scheme decision last year. The North Sea producer has since focused on developing oil and gas production internationally following its $11.2bn acquisition of Wintershall Dea. It has also since withdrawn from another UK CCS project. The UK’s track 1 CCS projects including HyNet in the North West of England and the East Coast Cluster in Teesside were backed with £21.7 billion in government support over 10 years. The onshore, buried pipeline will transport CO₂ captured from the industrial cluster at Immingham on the first stage of its journey out to the Viking reservoirs via an existing 75-mile (120km) pipeline, the Lincolnshire offshore gas gathering system (LOGGS),  with plans for a further new 13-mile (20km) spur line. The Viking fields could store up to 300m tonnes of CO₂, with the system handling up to 10m

Read More »

Trump targets state climate laws in latest executive order

President Donald Trump issued an executive order (EO) Apr. 8 tasking Atty. Gen. Pam Bondi to ensure states and cities follow federal climate and energy laws, not their own, more aggressive energy rules and climate standards. “Burdensome and ideologically motivated state policies “threaten American energy dominance and our economic and national security,” the order reads. The EO directs Bondi to remove “illegitimate impediments” to develop, site, produce, invest in, or use US energy resources. Trump ordered states to focus on eliminating barriers related to domestic oil, natural gas, coal, hydropower, geothermal, biofuel, critical mineral, and nuclear resources. Trump told Bondi to target state laws imposing carbon taxes and fees and those mentioning terms like “environmental justice” and “greenhouse gas emissions.”  The order requires Bondi to identify and stop enforcement of state laws she determines illegal based on the EO, and to submit a report within 60 days outlining steps taken and to recommend further executive or legislative action. Trump called out 3 states: California for its “radical” cap-and-trade program, in place since 2012; and Vermont and New York’s superfund policies that Trump called climate change ‘extortion laws’ that require fossil fuel companies to pay for past contributions to greenhouse gas emissions.   “The federal government cannot unilaterally strip states’ independent constitutional authority,” said New York Gov. Kathy Hochul and New Mexico Gov. Michelle Lujan Grisham, co-chairs of the US Climate Alliance. “We are a nation of states — and laws — and we will not be deterred. We will keep advancing solutions to the climate crisis that safeguard Americans’ fundamental right to clean air and water, create good-paying jobs, grow the clean energy economy, and make our future healthier and safer.” The US Climate Alliance is a bipartisan coalition of 24 governors committed to a net-zero future through state-led, high-impact

Read More »

EIA reduces global oil demand projections on tariff uncertainties

In its April issue Short-Term Energy Outlook (STEO), the US Energy Information Administration (EIA) lowered its projections for global oil demand growth. The agency now expects global consumption to rise by 0.9 million b/d in 2025 and by 1.0 million b/d in 2026 — downward revisions of 0.4 million b/d and 0.1 million b/d, respectively, from last month’s forecast. These estimates, which are based on economic projections from Oxford Economics completed before the latest tariff actions, are clouded by heightened uncertainty around global GDP growth. Oil prices tumbled during the first week of April amid escalating trade tensions and shifts in oil production policy. On Apr. 2, President Donald J. Trump signed an Executive Order imposing 10% tariffs on imports from all countries, with even higher rates on selected nations. Just 2 days later, China retaliated with a 34% tariff on US imports. Meanwhile, OPEC+ announced on Apr. 3 that some member countries would bring forward planned production increases from July to May. The rapid series of announcements triggered significant market volatility. By Apr. 7, Brent crude oil spot prices had plummeted 14% to $66/bbl. EIA expects continued volatility in crude oil and commodity prices as global markets digest the implications of the evolving trade landscape. “Our reduction in liquid fuels demand growth compared with last STEO is concentrated in Asia as a result of US tariffs. Despite that uncertainty, we continue to see non-OECD Asia as the primary driver of global oil demand growth in the forecast. We expect India will increase its consumption of liquid fuels by 0.3 million b/d in both 2025 and 2026, compared with an increase of 0.2 million in 2024, driven by rising demand for transportation fuels. We forecast China’s liquid fuels consumption will grow by 0.2 million b/d in both 2025 and 2026,

Read More »

U.S. Advances AI Data Center Push with RFI for Infrastructure on DOE Lands

ORNL is also the home of the Center for Artificial Intelligence Security Research (CAISER), which Edmon Begoli, CAISER founding director, described as being in place to build the security necessary by defining a new field of AI research targeted at fighting future AI security risks. Also, at the end of 2024, Google partner Kairos Power started construction of their Hermes demonstration SMR in Oak Ridge. Hermes is a high-temperature gas-cooled reactor (HTGR) that uses triso-fueled pebbles and a molten fluoride salt coolant (specifically Flibe, a mix of lithium fluoride and beryllium fluoride). This demonstration reactor is expected to be online by 2027, with a production level system becoming available in the 2030 timeframe. Also located in a remote area of Oak Ridge is the Tennessee Valley Clinch River project, where the TVA announced a signed agreement with GE-Hitachi to plan and license a BWRX-300 small modular reactor (SMR). On Integrating AI and Energy Production The foregoing are just examples of ongoing projects at the sites named by the DOE’s RFI. Presuming that additional industry power, utility, and data center providers get on board with these locations, any of the 16 could be the future home of AI data centers and on-site power generation. The RFI marks a pivotal step in the U.S. government’s strategy to solidify its global dominance in AI development and energy innovation. By leveraging the vast resources and infrastructure of its national labs and research sites, the DOE is positioning the country to meet the enormous power and security demands of next-generation AI technologies. The selected locations, already home to critical energy research and cutting-edge supercomputing, present a compelling opportunity for industry stakeholders to collaborate on building integrated, sustainable AI data centers with dedicated energy production capabilities. With projects like Oak Ridge’s pioneering SMRs and advanced AI security

Read More »

Generac Sharpens Focus on Data Center Power with Scalable Diesel and Natural Gas Generators

In a digital economy defined by constant uptime and explosive compute demand, power reliability is more than a design criterion—it’s a strategic imperative. In response to such demand, Generac Power Systems, a company long associated with residential backup and industrial emergency power, is making an assertive move into the heart of the digital infrastructure sector with a new portfolio of high-capacity generators engineered for the data center market. Unveiled this week, Generac’s new lineup includes five generators ranging from 2.25 MW to 3.25 MW. These units are available in both diesel and natural gas configurations, and form part of a broader suite of multi-asset energy systems tailored to hyperscale, colocation, enterprise, and edge environments. The product introductions expand Generac’s commercial and industrial capabilities, building on decades of experience with mission-critical power in hospitals, telecom, and manufacturing, now optimized for the scale and complexity of modern data centers. “Coupled with our expertise in designing generators specific to a wide variety of industries and uses, this new line of generators is designed to meet the most rigorous standards for performance, packaging, and after-treatment specific to the data center market,” said Ricardo Navarro, SVP & GM, Global Telecom and Data Centers, Generac. Engineering for the Demands of Digital Infrastructure Each of the five new generators is designed for seamless integration into complex energy ecosystems. Generac is emphasizing modularity, emissions compliance, and high-ambient operability as central to the offering, reflecting a deep understanding of the real-world challenges facing data center operators today. The systems are built around the Baudouin M55 engine platform, which is engineered for fast transient response and high operating temperatures—key for data center loads that swing sharply under AI and cloud workloads. The M55’s high-pressure common rail fuel system supports low NOx emissions and Tier 4 readiness, aligning with the most

Read More »

CoolIT and Accelsius Push Data Center Liquid Cooling Limits Amid Soaring Rack Densities

The CHx1500’s construction reflects CoolIT’s 24 years of DLC experience, using stainless-steel piping and high-grade wetted materials to meet the rigors of enterprise and hyperscale data centers. It’s also designed to scale: not just for today’s most power-hungry processors, but for future platforms expected to surpass today’s limits. Now available for global orders, CoolIT is offering full lifecycle support in over 75 countries, including system design, installation, CDU-to-server certification, and maintenance services—critical ingredients as liquid cooling shifts from high-performance niche to a requirement for AI infrastructure at scale. Capex Follows Thermals: Dell’Oro Forecast Signals Surge In Cooling and Rack Power Infrastructure Between Accelsius and CoolIT, the message is clear: direct liquid cooling is stepping into its maturity phase, with products engineered not just for performance, but for mass deployment. Still, technology alone doesn’t determine the pace of adoption. The surge in thermal innovation from Accelsius and CoolIT isn’t happening in a vacuum. As the capital demands of AI infrastructure rise, the industry is turning a sharper eye toward how data center operators account for, prioritize, and report their AI-driven investments. To wit: According to new market data from Dell’Oro Group, the transition toward high-power, high-density AI racks is now translating into long-term investment shifts across the data center physical layer. Dell’Oro has raised its forecast for the Data Center Physical Infrastructure (DCPI) market, predicting a 14% CAGR through 2029, with total revenue reaching $61 billion. That revision stems from stronger-than-expected 2024 results, particularly in the adoption of accelerated computing by both Tier 1 and Tier 2 cloud service providers. The research firm cited three catalysts for the upward adjustment: Accelerated server shipments outpaced expectations. Demand for high-power infrastructure is spreading to smaller hyperscalers and regional clouds. Governments and Tier 1 telecoms are joining the buildout effort, reinforcing AI as a

Read More »

Podcast: Nomads at the Frontier – AI, Infrastructure, and Data Center Workforce Evolution at DCD Connect New York

The 25th anniversary of the latest Data Center Dynamics event in New York City last month (DCD Connect NY 2025) brought record-breaking attendance, underscoring the accelerating pace of change in the digital infrastructure sector. At the heart of the discussions were evolving AI workloads, power and cooling challenges, and the crucial role of workforce development. Welcoming Data Center Frontier at their show booth were Phill Lawson-Shanks of Aligned Data Centers and Phillip Koblence of NYI, who are respectively managing director and co-founder of the Nomad Futurist Foundation. Our conversation spanned the pressing issues shaping the industry, from the feasibility of AI factories to the importance of community-driven talent pipelines. AI Factories: Power, Cooling, and the Road Ahead One of the hottest topics in the industry is how to support the staggering energy demands of AI workloads. Reflecting on NVIDIA’s latest announcements at GTC, including the potential of a 600-kilowatt rack, Lawson-Shanks described the challenges of accommodating such density. While 120-130 kW racks are manageable today, scaling beyond 300 kW will require rethinking power distribution methods—perhaps moving power sleds outside of cabinets or shifting to medium-voltage delivery. Cooling is another major concern. Beyond direct-to-chip liquid cooling, air cooling still plays a role, particularly for DIMMs, NICs, and interconnects. However, advances in photonics, such as shared laser fiber interconnects, could reduce switch power consumption, marking a potential turning point in energy efficiency. “From our perspective, AI factories are highly conceivable,” said Lawson-Shanks. “But we’re going to see hybridization for a while—clients will want to run cloud infrastructure alongside inference workloads. The market needs flexibility.” Connectivity and the Role of Tier-1 Cities Koblence emphasized the continuing relevance of major connectivity hubs like New York City in an AI-driven world. While some speculate that dense urban markets may struggle to accommodate hyperscale AI workloads,

Read More »

2025 Data Center Power Poll

@import url(‘/fonts/fira_sans.css’); a { color: #0074c7; } .ebm-page__main h1, .ebm-page__main h2, .ebm-page__main h3, .ebm-page__main h4, .ebm-page__main h5, .ebm-page__main h6 { font-family: “Fira Sans”, Arial, sans-serif; } body { letter-spacing: 0.025em; font-family: “Fira Sans”, Arial, sans-serif; } button, .ebm-button-wrapper { font-family: “Fira Sans”, Arial, sans-serif; } .label-style { text-transform: uppercase; color: var(–color-grey); font-weight: 600; font-size: 0.75rem; } .caption-style { font-size: 0.75rem; opacity: .6; } #onetrust-pc-sdk [id*=btn-handler], #onetrust-pc-sdk [class*=btn-handler] { background-color: #005ea0 !important; border-color: #005ea0 !important; } #onetrust-policy a, #onetrust-pc-sdk a, #ot-pc-content a { color: #005ea0 !important; } #onetrust-consent-sdk #onetrust-pc-sdk .ot-active-menu { border-color: #005ea0 !important; } #onetrust-consent-sdk #onetrust-accept-btn-handler, #onetrust-banner-sdk #onetrust-reject-all-handler, #onetrust-consent-sdk #onetrust-pc-btn-handler.cookie-setting-link { background-color: #005ea0 !important; border-color: #005ea0 !important; } #onetrust-consent-sdk .onetrust-pc-btn-handler { color: #005ea0 !important; border-color: #005ea0 !important; background-color: undefined !important; }

Read More »

How Microgrids and DERs Could Solve the Data Center Power Crisis

Microgrid Knowledge’s annual conference will be held in Dallas, Texas this year. Energy industry leaders and microgrid developers, customers and enthusiasts will gather April 15-17 at the Sheraton Dallas, to learn from each other and discuss a wide variety of microgrid related topics. There will be sessions exploring the role microgrids can play in healthcare, military, aviation and transportation, as well as other sectors of the economy. Experts will share insights on fuels, creating flexible microgrids, integrating electric vehicle charging stations and more.  “Powering Data Centers: Collaborative Microgrid Solutions for a Growing Market” is expected to be one of the most popular sessions at the conference. Starting at 10:45am on April 16, industry experts will tackle the biggest question facing data center operators and the energy industry – how can we solve the data center energy crisis? During the session, the panelists will discuss how private entities, developers and utilities can work together to deploy microgrids and distributed energy technologies that address the data center industry’s rapidly growing power needs. They’ll share solutions, technologies and strategies to favorably position data centers in the energy queue. In advance of the conference, we sat down with two of the featured panelists to learn more about the challenges facing the data center industry and how microgrids can address the sector’s growing energy needs. We spoke with session chair Samantha Reifer, director of strategic alliances at Scale Microgrids and Elham Akhavan, senior microgrid research analyst at Wood Mackenzie. Here’s what Reifer and Akhavan had to say: The data center industry is growing rapidly. What are the critical challenges facing the sector as it expands? Samantha Reifer: The biggest barrier we’ve been hearing about from our customers and partners is whether these data centers can get power where they want to build? For a colocation

Read More »

Microsoft will invest $80B in AI data centers in fiscal 2025

And Microsoft isn’t the only one that is ramping up its investments into AI-enabled data centers. Rival cloud service providers are all investing in either upgrading or opening new data centers to capture a larger chunk of business from developers and users of large language models (LLMs).  In a report published in October 2024, Bloomberg Intelligence estimated that demand for generative AI would push Microsoft, AWS, Google, Oracle, Meta, and Apple would between them devote $200 billion to capex in 2025, up from $110 billion in 2023. Microsoft is one of the biggest spenders, followed closely by Google and AWS, Bloomberg Intelligence said. Its estimate of Microsoft’s capital spending on AI, at $62.4 billion for calendar 2025, is lower than Smith’s claim that the company will invest $80 billion in the fiscal year to June 30, 2025. Both figures, though, are way higher than Microsoft’s 2020 capital expenditure of “just” $17.6 billion. The majority of the increased spending is tied to cloud services and the expansion of AI infrastructure needed to provide compute capacity for OpenAI workloads. Separately, last October Amazon CEO Andy Jassy said his company planned total capex spend of $75 billion in 2024 and even more in 2025, with much of it going to AWS, its cloud computing division.

Read More »

John Deere unveils more autonomous farm machines to address skill labor shortage

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More Self-driving tractors might be the path to self-driving cars. John Deere has revealed a new line of autonomous machines and tech across agriculture, construction and commercial landscaping. The Moline, Illinois-based John Deere has been in business for 187 years, yet it’s been a regular as a non-tech company showing off technology at the big tech trade show in Las Vegas and is back at CES 2025 with more autonomous tractors and other vehicles. This is not something we usually cover, but John Deere has a lot of data that is interesting in the big picture of tech. The message from the company is that there aren’t enough skilled farm laborers to do the work that its customers need. It’s been a challenge for most of the last two decades, said Jahmy Hindman, CTO at John Deere, in a briefing. Much of the tech will come this fall and after that. He noted that the average farmer in the U.S. is over 58 and works 12 to 18 hours a day to grow food for us. And he said the American Farm Bureau Federation estimates there are roughly 2.4 million farm jobs that need to be filled annually; and the agricultural work force continues to shrink. (This is my hint to the anti-immigration crowd). John Deere’s autonomous 9RX Tractor. Farmers can oversee it using an app. While each of these industries experiences their own set of challenges, a commonality across all is skilled labor availability. In construction, about 80% percent of contractors struggle to find skilled labor. And in commercial landscaping, 86% of landscaping business owners can’t find labor to fill open positions, he said. “They have to figure out how to do

Read More »

2025 playbook for enterprise AI success, from agents to evals

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More 2025 is poised to be a pivotal year for enterprise AI. The past year has seen rapid innovation, and this year will see the same. This has made it more critical than ever to revisit your AI strategy to stay competitive and create value for your customers. From scaling AI agents to optimizing costs, here are the five critical areas enterprises should prioritize for their AI strategy this year. 1. Agents: the next generation of automation AI agents are no longer theoretical. In 2025, they’re indispensable tools for enterprises looking to streamline operations and enhance customer interactions. Unlike traditional software, agents powered by large language models (LLMs) can make nuanced decisions, navigate complex multi-step tasks, and integrate seamlessly with tools and APIs. At the start of 2024, agents were not ready for prime time, making frustrating mistakes like hallucinating URLs. They started getting better as frontier large language models themselves improved. “Let me put it this way,” said Sam Witteveen, cofounder of Red Dragon, a company that develops agents for companies, and that recently reviewed the 48 agents it built last year. “Interestingly, the ones that we built at the start of the year, a lot of those worked way better at the end of the year just because the models got better.” Witteveen shared this in the video podcast we filmed to discuss these five big trends in detail. Models are getting better and hallucinating less, and they’re also being trained to do agentic tasks. Another feature that the model providers are researching is a way to use the LLM as a judge, and as models get cheaper (something we’ll cover below), companies can use three or more models to

Read More »

OpenAI’s red teaming innovations define new essentials for security leaders in the AI era

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More OpenAI has taken a more aggressive approach to red teaming than its AI competitors, demonstrating its security teams’ advanced capabilities in two areas: multi-step reinforcement and external red teaming. OpenAI recently released two papers that set a new competitive standard for improving the quality, reliability and safety of AI models in these two techniques and more. The first paper, “OpenAI’s Approach to External Red Teaming for AI Models and Systems,” reports that specialized teams outside the company have proven effective in uncovering vulnerabilities that might otherwise have made it into a released model because in-house testing techniques may have missed them. In the second paper, “Diverse and Effective Red Teaming with Auto-Generated Rewards and Multi-Step Reinforcement Learning,” OpenAI introduces an automated framework that relies on iterative reinforcement learning to generate a broad spectrum of novel, wide-ranging attacks. Going all-in on red teaming pays practical, competitive dividends It’s encouraging to see competitive intensity in red teaming growing among AI companies. When Anthropic released its AI red team guidelines in June of last year, it joined AI providers including Google, Microsoft, Nvidia, OpenAI, and even the U.S.’s National Institute of Standards and Technology (NIST), which all had released red teaming frameworks. Investing heavily in red teaming yields tangible benefits for security leaders in any organization. OpenAI’s paper on external red teaming provides a detailed analysis of how the company strives to create specialized external teams that include cybersecurity and subject matter experts. The goal is to see if knowledgeable external teams can defeat models’ security perimeters and find gaps in their security, biases and controls that prompt-based testing couldn’t find. What makes OpenAI’s recent papers noteworthy is how well they define using human-in-the-middle

Read More »