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Winning the war against adversarial AI needs to start with AI-native SOCs

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More Faced with increasingly sophisticated multi-domain attacks slipping through due to alert fatigue, high turnover and outdated tools, security leaders are embracing AI-native security operations centers (SOCs) as the future of defense. This year, attackers are setting […]

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Faced with increasingly sophisticated multi-domain attacks slipping through due to alert fatigue, high turnover and outdated tools, security leaders are embracing AI-native security operations centers (SOCs) as the future of defense.

This year, attackers are setting new speed records for intrusions by capitalizing on the weaknesses of legacy systems designed for perimeter-only defenses and, worse, of trusted connections across networks.

Attackers trimmed 17 minutes off their average eCrime intrusion activity time results over the last year and reduced the average breakout time for eCrime intrusions from 79 minutes to 62 minutes in just a year. The fastest observed breakout time was just two minutes and seven seconds.

Attackers are combining generative AI, social engineering, interactive intrusion campaigns and an all-out assault on cloud vulnerabilities and identities. With this playbook they seek to capitalize on the weaknesses of organizations with outdated or no cybersecurity arsenals in place.   

“The speed of today’s cyberattacks requires security teams to rapidly analyze massive amounts of data to detect, investigate and respond to threats faster. This is the failed promise of SIEM [security information and event management]. Customers are hungry for better technology that delivers instant time-to-value and increased functionality at a lower total cost of ownership,” said George Kurtz, president, CEO and cofounder of cybersecurity company CrowdStrike.

“SOC leaders must find the balance in improving their detection and blocking capabilities. This should reduce the number of incidents and improve their response capabilities, ultimately reducing attacker dwell time,” Gartner writes in its report, Tips for Selecting the Right Tools for Your Security Operations Center.

AI-native SOCs: The sure cure for swivel-chair integration

Visit any SOC, and it’s clear most analysts are being forced to rely on “swivel-chair integration” because legacy systems weren’t designed to share data in real time with each other.

That means analysts are often swiveling their rolling chairs from one monitor to another, checking on alerts and clearing false positives. Accuracy and speed are lost in the fight against growing multi-domain attempts that are not intuitively obvious and distinct among the real-time torrent of alerts streaming in.

Here are just a few of the many challenges that SOC leaders are looking to an AI-native SOC to help solve:

Chronic levels of alert fatigue: Legacy systems, including SIEMs, are producing an increasingly overwhelming number of alerts for SOC analysts with to track and analyze. SOC analysts who spoke on anonymity said that four out of every 10 alerts they produce are false positives. Analysts often spend more time triaging false positives than investigating actual threats, which severely affects productivity and response time. Making an SOC AI-native would make an immediate dent in this time, which every SOC analyst and leader has to deal with on a daily basis.

Ongoing talent shortage and churn: Experienced SOC analysts who excel at what they do and whose leaders can influence budgets to get them raises and bonuses are, for the most part, staying put in their current roles. Kudos to the organizations who realize investing in retaining talented SOC teams is core to their business. A commonly cited statistic is that there is a global cybersecurity workforce gap of 3.4 million professionals. There is indeed a chronic shortage of SOC analysts in the industry, so it’s up to organizations to close the pay gaps and double down on training to grow their teams internally. Burnout is pervasive in understaffed teams who are forced to rely on swivel-chair integration to get their jobs done.

Multi-domain threats are growing exponentially. Adversaries, including cybercrime gangs, nation-states and well-funded cyber-terror organizations, are doubling down on exploiting gaps in endpoint security and identities. Malware-free attacks have been growing throughout the past year, increasing in their variety, volume and ingenuity of attack strategies. SOC teams protecting enterprise software companies developing AI-based platforms, systems and new technologies are being especially hard-hit. Malware-free attacks are often undetectable, trading on trust in legitimate tools, rarely generating a unique signature, and relying on file-less execution. Kurtz told VentureBeat that attackers who target endpoint and identity vulnerabilities frequently move laterally within systems in under two minutes. Their advanced techniques, including social engineering, ransomware-as-a-service (RaaS), and identity-based attacks, demand faster and more adaptive SOC responses.

Increasingly complex cloud configurations increase the risks of an attack. Cloud intrusions have surged by 75% year-over-year, with adversaries exploiting native cloud vulnerabilities such as insecure APIs and identity misconfigurations. SOCs often struggle with limited visibility and inadequate tools to mitigate threats in complex multicloud environments.

Data overload and tool sprawl create defense gaps that SOC teams are called on to fill. Legacy perimeter-based systems, including many decades-old SIEM systems, struggle to process and analyze the immense amount of data generated by modern infrastructure, endpoints, and sources of telemetry data. Asking SOC analysts to keep on top of multiple sources of alerts and reconcile data across disparate tools slows their effectiveness, leads to burnout and holds them back from achieving the necessary accuracy, speed and performance.

How AI is improving SOC accuracy, speed and performance

“AI is already being used by criminals to overcome some of the world’s cybersecurity measures,” warns Johan Gerber, executive vice president of security and cyber innovation at MasterCard. “But AI has to be part of our future, of how we attack and address cybersecurity.”

“It’s extremely hard to go out and do something if AI is thought about as a bolt-on; you have to think about it [as integral],” Jeetu Patel, EVP and GM of security and collaboration for Cisco, told VentureBeat, citing findings from the 2024 Cisco Cybersecurity Readiness Index. “The operative word over here is AI being used natively in your core infrastructure.”

Given the many accuracy, speed and performance advantages of transitioning to an AI-native SOC, it’s understandable why Gartner is supportive of the idea. The research firm predicts that by 2028, multi-agent AI in threat detection and incident response (including within SOCs) will increase from 5% to 70% of AI implementations — primarily augmenting, not replacing, staff.

Chatbots making an impact

Core to the value that AI-driven SOCs bring to cybersecurity and IT teams are accelerated threat detection and triage based on improved predictive accuracy using real-time telemetry data.

SOC teams report that AI-based tools, including chatbots, are providing faster turnarounds on a broad spectrum of queries, from simple analysis to more complex analysis of anomalies. The latest generation of chatbots designed to streamline SOC workflows and assist security analysts include CrowdStrike’s Charlotte AI, Google’s Threat Intelligence Copilot, Microsoft Security Copilot, Palo Alto Networks’ series of AI Copilots, and SentinelOne Purple AI.

Graph databases are core to SOCs’ future

Graph database technologies are helping defenders see their vulnerabilities as attackers do. Attackers think in terms of traversing the system graph of a business, while SOC defenders have traditionally relied on lists they use to cycle through deterrent-based actions. The graph database arms race aims to get SOC analysts to parity with attackers when it comes to tracking threats, intrusions and breaches across the graph of their identities, systems and networks.  

AI is already proving effective in reducing false positives, automating incident responses, enhancing threat analysis and continually finding new ways to streamline SOC operations.

Combining AI with graph databases is also helping SOCs track and stop multi-domain attacks. Graph databases are core to SOC’s future because they excel at visualizing and analyzing interconnected data in real time, enabling faster and more accurate threat detection, attack path analysis, and risk prioritization.

John Lambert, corporate vice president for Microsoft Security Research, underscored the critical importance of graph-based thinking for cybersecurity, explaining to VentureBeat, “Defenders think in lists, cyberattackers think in graphs. As long as this is true, attackers win.”

AI-native SOCs need humans in the middle to reach their potential

SOCs that are deliberate in designing human-in-the-middle workflows as a core part of their AI-native SOC strategies are best positioned for success. The overarching goal needs to be strengthening SOC analysts’ knowledge and providing them with the data, insights and intelligence they need to excel and grow in their roles. Also implicit in a human-in-the-middle workflow design is retention.

Organizations that have created a culture of continuous learning and see AI as a tool for accelerating training and on-the-job results are already ahead of competitors. VentureBeat continues to see SOCs that put a high priority on enabling analysts to focus on complex, strategic tasks, while AI manages routine operations, retaining their teams. There are many stories of small wins, like stopping an intrusion or a breach. AI should not be seen as a replacement for SOC analysts or for experienced human threat hunters. Instead, AI apps and platforms are tools that threat hunters need to protect enterprises better.

AI-driven SOCs can significantly reduce incident response times, with some organizations reporting up to a 50% decrease. This acceleration enables security teams to address threats more promptly, minimizing potential damage.

AI’s role in SOCs is expected to expand, incorporating proactive adversary simulations, continuous health monitoring of SOC ecosystems, and advanced endpoint and identity security through zero-trust integration. These advancements will further strengthen organizations’ defenses against evolving cyber threats.

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ExxonMobil bumps up 2030 target for Permian production

ExxonMobil Corp., Houston, is looking to grow production in the Permian basin to about 2.5 MMboe/d by 2030, an increase of 200,000 boe/d from executives’ previous forecasts and a jump of more than 45% from this year’s output. Helping drive that higher target is an expected 2030 cost profile that

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Eni Fires Up New Andalusia Solar Plant

Eni SpA, through Eni Plenitude SpA Società Benefit, has put online its second photovoltaic generation facility in Andalusia, the 150-megawatt (MW) Caparacena project in Granada. The latest start-up raises the Italian state-backed oil and gas producer’s installed renewables capacity in Spain to nearly 1.5 gigawatts (GW), it said in a press release. “The project, one of the most significant in the company’s portfolio in Spain, covers 264 hectares and comprises three photovoltaic parks of 50 MW each”, Eni said. With over 274,000 bifacial modules, the plant has an annual capacity of 320 gigawatt hours, it said. The Caparacena plant, in Chimeneas and Ventas de Huelma, is among renewable installations totaling about 400 MW – all solar – that Eni completed in Spain last year, according to a press release by the company January 7, 2025. Eni only announced activation now. Announcing the start-up, Eni noted the project had been completed while successfully preserving a sixth-century Iberian necropolis. Archaeological monitoring works at the site in April 2024 had led to the discovery, which yielded funerary ceramic urns and period artefacts, according to Eni. “In compliance with the requirements established for the project authorization process, during the construction of the plant, several measures were implemented to protect the natural environment and preserve the soil”, it said. Eni already produces solar power in Andalusia through Seville’s 230-MW Guillena plant. Eni is building another solar plant with a capacity of 200 MW in Seville, the Entrenúcleo project between the municipalities of Dos Hermanas and Coria del RÍo. It expects to start up the project next year. Eni announced the start of construction July 3. Elsewhere in Spain, Eni said June 30 the northern block of its Renopool solar plant in the municipality of Solana de los Barros, Badajoz, Extremadura, had begun production with a capacity of 130

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OPEC Data Points to Balanced Global Oil Market in 2026

OPEC kept forecasts for global oil supplies and demand in 2026 steady, pointing to a balanced world market that clashes with widespread predictions of a surplus. The Organization of the Petroleum Exporting Countries and its allies will need to produce an average of 43 million barrels a day next year to balance supply and demand, roughly in line with the amount pumped last month, according to a report on OPEC’s website. This runs counter to prevailing industry expectations for a supply excess in 2026. Top trader Trafigura Group said this week it could amount to a “super glut,” and the International Energy Agency — while paring its projections in its report earlier Thursday — continues to expect a record overhang. Key OPEC+ nations led by Saudi Arabia acknowledged the fragile backdrop last month by agreeing to pause further output increases during the first quarter after rapidly ramping up production earlier this year.  The outlook from OPEC’s Vienna-based secretariat has proven excessively bullish in recent years. Last year, OPEC was ultimately forced to slash demand projections by 32% over the course of six monthly downgrades. In late 2023, it forecast a record inventory deficit that never materialized. 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.

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Antero adds to Marcellus portfolio, Infinity picks up divested Ohio Utica interests

Antero Resources Corp., Denver, Co., has signed deals to expand its Marcellus shale footprint in West Virginia and to divest its certain Ohio Utica shale assets. Adding the Marcellus assets expands Antero Resources’ core acreage position, enhancing its position “as the premier liquids developer in the Marcellus,” and provides the company “with further dry gas optionality for local demand from data centers and natural gas fired power plants,” said Michael Kennedy, president and chief executive officer, in a release Dec. 8. Marcellus acquisition from HG Energy Through a deal to acquire the upstream assets of HG Energy II LLC, Parkersburg, WV, Antero aims to add 850 MMcfed of expected Marcellus production in 2026. The deal, expected to close in second-quarter 2026, was signed for $2.8 billion in cash plus the assumption of HG Energy’s commodity hedge book. Antero said about 90% of HG natural gas production is hedged in 2026 and 2027 at average NYMEX prices of $4.00 and $3.88, respectively. The deal adds 385,000 net acres offsetting Antero’s existing 475,000 net core Marcellus acreage position and includes over 400 additional locations that immediately compete for capital (75% liquids), the company said in a related investor presentation.  Antero said it anticipates capital synergies of about $550 million inclusive of development planning optimization and drilling and completions savings. Another $400 in income-related synergies is expected. Separately, Antero Midstream agreed to acquire the midstream assets from HG Energy for $1.1 billion in cash. The deal includes about 50 miles of bi-directional dry and rich gas gathering pipelines and water assets in which Antero plans to invest about $25 million to integrate with its legacy gathering and water system. Utica sale to Infinity Natural Resources Infinity Natural Resources Inc., in a release Dec. 8, said subsidiary Infinity Natural Resources LLC will acquire upstream and

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Market Focus: Oversupply takes center stage, fundamentals catch up with the market

@import url(‘https://fonts.googleapis.com/css2?family=Inter:[email protected]&display=swap’); a { color: var(–color-primary-main); } .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: Inter; } body { line-height: 150%; letter-spacing: 0.025em; font-family: Inter; } button, .ebm-button-wrapper { font-family: Inter; } .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: #c19a06 !important; border-color: #c19a06 !important; } #onetrust-policy a, #onetrust-pc-sdk a, #ot-pc-content a { color: #c19a06 !important; } #onetrust-consent-sdk #onetrust-pc-sdk .ot-active-menu { border-color: #c19a06 !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: #c19a06 !important; border-color: #c19a06 !important; } #onetrust-consent-sdk .onetrust-pc-btn-handler { color: #c19a06 !important; border-color: #c19a06 !important; } <!–> In this Market Focus episode of the Oil & Gas Journal ReEnterprised podcast, Conglin Xu, managing editor, economics, takes a look at the growing oversupply in global crude markets and the shift now under way as fundamentals begin overtaking sentiment and geopolitics as the primary price driver. ]–>

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Aramco, ExxonMobil weigh new chemical complex for Samref refinery

Saudi Aramco and partner ExxonMobil Corp. subsidiary Mobil Yanbu Refining Co. Inc. are discussing the possibility of executing a major overhaul and expansion of 50-50 joint venture Saudi Aramco-Mobil Refinery Co. Ltd.’s (Samref) 400,000-b/d Samref refinery in Yanbu, Saudi Arabia. As part of a venture framework agreement (VFA) signed on Dec. 8, the partners will evaluate potential capital investments to expand and diversify the refinery’s existing production slate, including the addition of a grassroots petrochemical complex at the site, Aramco said in a statement. In addition to upgrading and diversifying Samref’s production to include lower-emission, high-quality distillates and high-performance chemicals, the project scope would involve works to improve the refinery’s energy efficiency and implement a sitewide integrated emissions reduction strategy, according to Aramco. With the VFA now signed, the companies said they will begin the project’s preliminary front-end engineering and design (pre-FEED) study, which will focus on opportunities to maximize the site’s operational advantage and enhance its competitiveness while meeting Saudi Arabia’s growing demand for high-quality petrochemical products. For Aramco, the proposed project—the design of which aims to increase the conversion of crude oil and other petroleum liquids into higher-value chemicals—further reinforces the company’s commitment to creating further value of its overall downstream business as well as its liquids-to-chemicals strategy, according to Mohammed Y. Al Qahtani, Aramco’s downstream president. “[The proposed expansion and integration project] will also position Samref as a key driver in the growth of [Saudi Arabia’s] petrochemical sector,” Al Qahtani added. Without disclosing a timeline as to when the partners expect to complete the pre-FEED study or reach final investment decision, Aramco confirmed existing plans for the potential project would remain subject to market conditions and necessary regulatory approvals. Samref previously completed modifications and renovations at the Yanbu refinery in 2014-15 related to a two-phased clean-fuels project

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Harbour Energy to add North Sea assets through Waldorf acquisition

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Executive Roundtable: Converging Disciplines in the AI Buildout

At Data Center Frontier, we rely on industry leaders to help us understand the most urgent challenges facing digital infrastructure. And in the fourth quarter of 2025, the data center industry is adjusting to a new kind of complexity.  AI-scale infrastructure is redefining what “mission critical” means, from megawatt density and modular delivery to the chemistry of cooling fluids and the automation of energy systems. Every project has arguably in effect now become an ecosystem challenge, demanding that electrical, mechanical, construction, and environmental disciplines act as one.  For this quarter’s Executive Roundtable, DCF convened subject matter experts from Ecolab, EdgeConneX, Rehlko and Schneider Electric – leaders spanning the full chain of facilities design, deployment, and operation. Their insights illuminate how liquid cooling, energy management, and sustainable process design in data centers are now converging to set the pace for the AI era. Our distinguished executive panelists for this quarter include: Rob Lowe, Director RD&E – Global High Tech, Ecolab Phillip Marangella, Chief Marketing and Product Officer, EdgeConneX Ben Rapp, Manager, Strategic Project Development, Rehlko Joe Reele, Vice President, Datacenter Solution Architects, Schneider Electric Today: Engineering the New Normal – Liquid Cooling at Scale  Today’s kickoff article grapples with how, as liquid cooling technology transitions to default hyperscale design, the challenge is no longer if, but how to scale builds safely, repeatably, and globally.  Cold plates, immersion, dielectric fluids, and liquid-to-chip loops are converging into factory-integrated building blocks, yet variability in chemistry, serviceability, materials, commissioning practices, and long-term maintenance threatens to fragment adoption just as demand accelerates.  Success now hinges on shared standards and tighter collaboration across OEMs, builders, and process specialists worldwide. So how do developers coordinate across the ecosystem to make liquid cooling a safe, maintainable global default? What’s Ahead in the Roundtable Over the coming days, our panel

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DCF Trends Summit 2025: AI for Good – How Operators, Vendors and Cooling Specialists See the Next Phase of AI Data Centers

At the 2025 Data Center Frontier Trends Summit (Aug. 26-28) in Reston, Va., the conversation around AI and infrastructure moved well past the hype. In a panel sponsored by Schneider Electric—“AI for Good: Building for AI Workloads and Using AI for Smarter Data Centers”—three industry leaders explored what it really means to design, cool and operate the new class of AI “factories,” while also turning AI inward to run those facilities more intelligently. Moderated by Data Center Frontier Editor in Chief Matt Vincent, the session brought together: Steve Carlini, VP, Innovation and Data Center Energy Management Business, Schneider Electric Sudhir Kalra, Chief Data Center Operations Officer, Compass Datacenters Andrew Whitmore, VP of Sales, Motivair Together, they traced both sides of the “AI for Good” equation: building for AI workloads at densities that would have sounded impossible just a few years ago, and using AI itself to reduce risk, improve efficiency and minimize environmental impact. From Bubble Talk to “AI Factories” Carlini opened by acknowledging the volatility surrounding AI investments, citing recent headlines and even Sam Altman’s public use of the word “bubble” to describe the current phase of exuberance. “It’s moving at an incredible pace,” Carlini noted, pointing out that roughly half of all VC money this year has flowed into AI, with more already spent than in all of the previous year. Not every investor will win, he said, and some companies pouring in hundreds of billions may not recoup their capital. But for infrastructure, the signal is clear: the trajectory is up and to the right. GPU generations are cycling faster than ever. Densities are climbing from high double-digits per rack toward hundreds of kilowatts. The hyperscale “AI factories,” as NVIDIA calls them, are scaling to campus capacities measured in gigawatts. Carlini reminded the audience that in 2024,

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FinOps Foundation sharpens FOCUS to reduce cloud cost chaos

“The big change that’s really started to happen in late 2024 early 2025 is that the FinOps practice started to expand past the cloud,” Storment said. “A lot of organizations got really good at using FinOps to manage the value of cloud, and then their organizations went, ‘oh, hey, we’re living in this happily hybrid state now where we’ve got cloud, SaaS, data center. Can you also apply the FinOps practice to our SaaS? Or can you apply it to our Snowflake? Can you apply it to our data center?’” The FinOps Foundation’s community has grown to approximately 100,000 practitioners. The organization now includes major cloud vendors, hardware providers like Nvidia and AMD, data center operators and data cloud platforms like Snowflake and Databricks. Some 96 of the Fortune 100 now participate in FinOps Foundation programs. The practice itself has shifted in two directions. It has moved left into earlier architectural and design processes, becoming more proactive rather than reactive. It has also moved up organizationally, from director-level cloud management roles to SVP and COO positions managing converged technology portfolios spanning multiple infrastructure types. This expansion has driven the evolution of FOCUS beyond its original cloud billing focus. Enterprises are implementing FOCUS as an internal standard for chargeback reporting even when their providers don’t generate native FOCUS data. Some newer cloud providers, particularly those focused on AI infrastructure, are using the FOCUS specification to define their billing data structures from the ground up rather than retrofitting existing systems. The FOCUS 1.3 release reflects this maturation, addressing technical gaps that have emerged as organizations apply cost management practices across increasingly complex hybrid environments. FOCUS 1.3 exposes cost allocation logic for shared infrastructure The most significant technical enhancement in FOCUS 1.3 addresses a gap in how shared infrastructure costs are allocated and

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Aetherflux joins the race to launch orbital data centers by 2027

Enterprises will connect to and manage orbital workloads “the same way they manage cloud workloads today,” using optical links, the spokesperson added. The company’s approach is to “continuously launch new hardware and quickly integrate the latest architectures,” with older systems running lower-priority tasks to serve out the full useful lifetime of their high-end GPUs. The company declined to disclose pricing. Aetherflux plans to launch about 30 satellites at a time on SpaceX Falcon 9 rockets. Before the data center launch, the company will launch a power-beaming demonstration satellite in 2026 to test transmission of one kilowatt of energy from orbit to ground stations, using infrared lasers. Competition in the sector has intensified in recent months. In November, Starcloud launched its Starcloud-1 satellite carrying an Nvidia H100 GPU, which is 100 times more powerful than any previous GPU flown in space, according to the company, and demonstrated running Google’s Gemma AI model in orbit. In the same month, Google announced Project Suncatcher, with a 2027 demonstration mission planned. Analysts see limited near-term applications Despite the competitive activity, orbital data centers won’t replace terrestrial cloud regions for general hosting through 2030, said Ashish Banerjee, senior principal analyst at Gartner. Instead, they suit specific workloads, including meeting data sovereignty requirements for jurisdictionally complex scenarios, offering disaster recovery immune to terrestrial risks, and providing asynchronous high-performance computing, he said. “Orbital centers are ideal for high-compute, low-I/O batch jobs,” Banerjee said. “Think molecular folding simulations for pharma, massive Monte Carlo financial simulations, or training specific AI model weights. If the job takes 48 hours, the 500ms latency penalty of LEO is irrelevant.” One immediate application involves processing satellite-generated data in orbit, he said. Earth observation satellites using synthetic aperture radar generate roughly 10 gigabytes per second, but limited downlink bandwidth creates bottlenecks. Processing data in

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Here’s what Oracle’s soaring infrastructure spend could mean for enterprises

He said he had earlier told analysts in a separate call that margins for AI workloads in these data centers would be in the 30% to 40% range over the life of a customer contract. Kehring reassured that there would be demand for the data centers when they were completed, pointing to Oracle’s increasing remaining performance obligations, or services contracted but not yet delivered, up $68 billion on the previous quarter, saying that Oracle has been seeing unprecedented demand for AI workloads driven by the likes of Meta and Nvidia. Rising debt and margin risks raise flags for CIOs For analysts, though, the swelling debt load is hard to dismiss, even with Oracle’s attempts to de-risk its spend and squeeze more efficiency out of its buildouts. Gogia sees Oracle already under pressure, with the financial ecosystem around the company pricing the risk — one of the largest debts in corporate history, crossing $100 billion even before the capex spend this quarter — evident in the rising cost of insuring the debt and the shift in credit outlook. “The combination of heavy capex, negative free cash flow, increasing financing cost and long-dated revenue commitments forms a structural pressure that will invariably finds its way into the commercial posture of the vendor,” Gogia said, hinting at an “eventual” increase in pricing of the company’s offerings. He was equally unconvinced by Magouyrk’s assurances about the margin profile of AI workloads as he believes that AI infrastructure, particularly GPU-heavy clusters, delivers significantly lower margins in the early years because utilisation takes time to ramp.

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New Nvidia software gives data centers deeper visibility into GPU thermals and reliability

Addressing the challenge Modern AI accelerators now draw more than 700W per GPU, and multi-GPU nodes can reach 6kW, creating concentrated heat zones, rapid power swings, and a higher risk of interconnect degradation in dense racks, according to Manish Rawat, semiconductor analyst at TechInsights. Traditional cooling methods and static power planning increasingly struggle to keep pace with these loads. “Rich vendor telemetry covering real-time power draw, bandwidth behavior, interconnect health, and airflow patterns shifts operators from reactive monitoring to proactive design,” Rawat said. “It enables thermally aware workload placement, faster adoption of liquid or hybrid cooling, and smarter network layouts that reduce heat-dense traffic clusters.” Rawat added that the software’s fleet-level configuration insights can also help operators catch silent errors caused by mismatched firmware or driver versions. This can improve training reproducibility and strengthen overall fleet stability. “Real-time error and interconnect health data also significantly accelerates root-cause analysis, reducing MTTR and minimizing cluster fragmentation,” Rawat said. These operational pressures can shape budget decisions and infrastructure strategy at the enterprise level.

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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.

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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

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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

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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

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