We Need More Power - DTNS 5138

The compute deals are coming in fast, but is there energy for it? And how Google might save Siri.

Starring Tom Merritt, and Robb Dunewood.

TOM: This is the Daily Tech News for Monday, November 3, 2025. We tell you what you need to know, give you the important context, and help each other understand.

ROBB: Today, everybody wants more infrastructure, but what they really need is more power. Where will they get it?

I’m Tom Merritt,

I’m Robb Dunewood

TOM: Let’s start with what you need to know with the big story.

[[BIG STORY]]
[[SOLO story of the day. Basic details, monitor commentary and sound when possible.]]

OpenAI, Amazon Sign $38 Billion Cloud Deal - WSJ
OpenAI signs $38 billion deal with Amazon, first partnership with AWS
Microsoft Vows to Spend $8 Billion in UAE Through 2029 on Cloud, Chips - Bloomberg
US allows Microsoft to ship Nvidia AI chips to use in UAE for first time
Microsoft Signs $9.7 Billion Deal With Data Center Firm IREN - Bloomberg
(1789) All things AI w @altcap @ sama & @ satyanadella – A Halloween Special 🎃🔥 BG2 w/ Brad Gerstner - YouTube
Meta bought 1 GW of solar this week | TechCrunch
Trump says Nvidia can’t sell China its best AI chips
Microsoft CEO says the company doesn’t have enough electricity to install all the AI GPUs in its inventory - Tom’s Hardware
New national law will turn large parking lots into solar power farms

TOM: Now that OpenAI and Microsoft have opened up their relationship, the race is on for companies to secure the computing resources they need to drive innovation and meet demand for generative models.

First, let’s run down the deals that were just made

• OpenAI struck its first deal with AWS. The 7-year deal is about 10% the size of previous deals OpenAI made with Oracle and Microsoft. OpenAI will use Nvidia GPUs, but there is a possibility of also adding Amazon’s in-house Trainium CPUs as well. Workloads will start running on AWS immediately.
  

• Microsoft will spend $7.9 billion in the United Arab Emirates over the next four years to build out data centers there. Microsoft says it got a US license to ship Nvidia chips there for this purpose, including new Blackwell GB300s. Microsoft said it will triple its use of Nvidia chips in the country. This comes along with remarks from the US president that the country’s most advanced chips will be reserved for US companies.
  

• Microsoft also reached a deal with Australia’s former crypto-miner turned AI resource provider, IREN, to access Nvidia’s GB300 chips from data centers in Childress, Texas. IREN will contract with Dell to provide further equipment as it expands operations to meet the deal.
  

This will add to the conversations about excess compute. Are companies building too much? In appearance on Brad Gerstner’s YouTube podcast, both Microsoft CEO Satya Nadella and OpenAI CEO Sam Altman said power, not compute, is the problem.

Nadella said, [[18:43]] “My problem today. It’s not a supply issue of chips; it’s actually the fact that I don’t have warm shells to plug into.” By warm shells, he does not mean pasta, but data centers with power, ready for people to install servers in.

Along with building more power resources, there’s also making the compute more efficient. Altman said, [[21:15]] “Someday, we will make a [n] incredible consumer device that can run a GPT-5 or GPT-6-capable model completely locally at a low power draw.”

So it’s worth noting that Meta signed three deals this week that total 1 gigawatt of solar power. Two in Louisiana and one near Lubbock, Texas.

And South Korea will mandate that all parking lots with more than 80 spaces add solar canopies, which will protect cars and generate energy.

So Robb, let’s talk about the energy use of this all.

[[DISCUSS]]

ROBB: DTNS is made possible by you the listener. Thanks to
Jony Hernandez
High Tech Okie
Kris Zaragoza

[[BREAK]]
[[PAUSE]]

TOM: There’s more we need to know today, let’s get to the briefs.

[[BRIEFS]]
[[3-5 more solo reads with sound to complete the day in tech news. These are informational with minor commentary.]]

Apple’s Nearly $140 Billion Quarter; When iOS 26.1 Will Be Out; iPad Mini Revamp - Bloomberg
With two new signs, can we finally believe in the new Siri?

ROBB: Every Sunday, Mark Gurman posts his Power On newsletter on Bloomberg, generating that week’s reliable Apple leaks. A lot of it, this week, is about Apple celebrating its 50th anniversary on April 1st. However, the remark getting the most attention is, “Apple is betting heavily on the new Siri, which will lean on Google’s Gemini model and introduce features like AI-powered web search.” Gurman has reported on this before, but repeated that while Anthropic offered a better model, Apple chose Google because of the price. He also repeated that the Gemini-based custom model will run on Apple’s private cloud servers.

China to ease chip export ban in new trade deal, White House says
Xi Quips About Backdoors During Xiaomi Phone Gift to Korea’s Lee - Bloomberg

TOM: The US published a fact sheet on its new trade agreements with China that says China will ease its export restrictions on chips needed to produce cars. This is particularly good news for Nexperia, which moves its chips between the Netherlands and China, and was at risk of having production disrupted. The fact sheet specifically mentioned the resumption of trade from Nexperia facilities. It also says China will pause export controls on rare earth minerals. And then there was this:

[[AUDIO]]

China’s president Xi Jinping presented South Korean President Lee Jae Myung a pair of Xiaomi smartphones. President Myung joked, “Is the line secure?” and President Xi replied, “You can check if there’s a backdoor.”

Logitech’s latest keyboard dabbles in enthusiast features | The Verge

ROBB: Logitech has expanded sales of its Bluetooth Alto Keys K98M mechanical keyboard to include North America. It’s hot-swappable with standard Cherry MX-compatible key switches. It comes in white, gray, and lavender with backlights that shine through transparent keycaps. It also uses an internal gasket mount for semi-soft typing. Logitech says the battery should last 12 months without the backlight on. It sells for $150.

LG founder’s grandson, production firm partner up to bring AI to filmmaking | TechCrunch

TOM: While companies in the US go slow on using generative models in filmmaking, a joint venture in South Korea is proceeding to build infrastructure, both data centers and power supply, for producing movies and TV shows with those models. The joint venture is between a production company called Utopai Studios and an investment firm, Stock Farm Road. The venture will co-produce film and TV projects and expand access to Korean intellectual property. The first production is expected to be released next year. Every model and every dataset used is fully licensed and contractually approved.

TOM: And finally, some quick headlines that are just good to know if you want to understand the news in the future.

[[IF necessary. One sentence each]]

Ayaneo’s first smartphone could have physical shoulder buttons

ROBB: Gaming handheld-maker Ayaneo (eye-ah-NEE-oh) is teasing its first gaming phone, called the Ayaneo phone, with physical shoulder buttons.

Samsung Galaxy S26 Ultra Release Date: New Leaks Brings Disappointment
[단독] 삼성 ‘갤 S26’, 내년 2월 25일 ‘AI 중심지’ 美 샌프란 언팩 - 머니투데이

TOM: Korea’s Money Today reports that its sources say Samsung is preparing to hold its Galaxy Unpacked event for the S26 in San Francisco on Wednesday, February 25th.

AMD clarifies RX 5000 and RX 6000 GPUs will still get game-specific optimisations despite going into ‘maintenance mode’ | PC Gamer

ROBB: If you heard that RDNA 1 and RDNA 2 would not get game-specific optimizations any longer, don’t worry. AMD clarified that even though the cards are headed into maintenance mode, they will not lose game-specific optimizations.

Microsoft AI chief says only biological beings can be conscious

TOM: Microsoft AI CEO Mustafa Suleyman told CNBC he thinks it’s a waste of time to pursue research on whether AI models are conscious. He thinks it’s the “wrong question” at this point.

China’s Baidu says it’s running 250,000 robotaxi rides a week — same as Alphabet’s Waymo

ROBB: China’s Baidu reports it has reached 250,000 weekly driverless rides, the same mark Waymo reached in April.

BYD October sales dip 12%, first revenue drop in five years

TOM: EV-maker BYD said sales fell 12% on the year in October because of growing competition from domestic rivals.

UK Regulator Refers Getty-Shutterstock Merger for an In-Depth Investigation

ROBB: The UK Competition and Markets Authority will launch an investigation into the proposed merger of Shutterstock into Getty Images after proposed remedies to anticompetitive concerns fell short.

Google pulls Gemma from AI Studio after Senator Blackburn accuses model of defamation | TechCrunch

TOM: Google has removed its Gemma family of lightweight models from AI Studio after complaints, specifically from a US Senator, that it was being used by non-developers to create false information.

[[PROMO]]

TOM: What do YOU want to hear us talk about on the show? One way to let us know is in our subreddit. Submit stories and vote on them at www.reddit.com/r/DailyTechNewsShow

[[BREAK]]
[[PAUSE]]

[[HELPING EACH OTHER UNDERSTAND]]
[[Short missives from people with experience. Could be written email or pre-recorded from the person.]]

ROBB:
We end every episode of DTNS with some shared perspective. Last week, Tom used the analogy of data centers being built to railroads being built. Maybe the people who built them didn’t profit, but the railroads got used. Andrew has something to add.

TOM:
Andrew writes:
Long time listener, love your work :)

Very quick note on your railroad analogy for data centre infrastructure. It works, except that railroads remain useful for many decades with minimal maintenance, while GPUs will be obsolete in five. Datacenter investors don’t have much time to find ROI.

Keep up the great work!

[[DISCUSS]]

ROBB: What are you thinking about? Got some insight into a story? Share it with us feedback@dailytechnewsshow.com

TOM: Thanks to Andrew for contributing to today’s show. And thank YOU for being along for Daily Tech News Show. You can keep us in business by becoming a patron, atPatreon.com/dtns