OpenAI Paid Microsoft 866M

China Beating US in AI

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AI PlanetX

Welcome to another edition of AI PlanetX.

OpenAI’s $866M payout to Microsoft highlights soaring AI costs; US warned it’s trailing China; learn how to build virtual influencers for Reels and Stories.

Inside This Edition: 💎

  • Hottest AI News

  • Top AI & SaaS Tools

  • AI Tutorial: Generate Virtual Influencer for Instagram

  • Top AI & Tech News

  • AI Art Spotlight

  • Prompt of the Day: Write Humanized Content with AI

  • AI Video Tutorial

  • Weekly Creator Playbooks to Grow on Social

Hottest AI News

OpenAI

OpenAI Paid Microsoft $866M in Nine Months as AI Costs Spiral

Latest financial documents reveal how OpenAI’s money flows through its partnership with Microsoft, showing explosive revenue growth alongside spending patterns that could reshape the economics of AI.

Details:

  • OpenAI paid Microsoft 494M in revenue share in 2024, rising to 866M in the first nine months of 2025. With 20% revenue-share, that implies about 2.5B in 2024 revenue and 4.3B+ through Q3 2025, even as Altman says they’re pacing toward 20B

  • The financial setup is more layered than it seems. Microsoft also pays OpenAI around 20% of Bing and Azure OpenAI revenue. The 866M represents Microsoft’s net share after subtracting what they owe OpenAI

  • The biggest red flag is inference spending — the cash needed to run the models. These costs hit 3.8B in 2024 and 8.65B in the first nine months of 2025. Since Microsoft covers training but not inference, OpenAI may be spending more

If the leading AI company is burning cash per customer even at massive scale, it challenges the sustainability of current AI valuations and fuels broader bubble concerns.

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AI Innovation

US Falling Behind China in AI Innovation Due to Closed Research

Databricks co-founder Andy Konwinski has issued a stark warning: America is losing the AI race to China, and it's an "existential" threat to democracy. His solution? Go open source or fall behind.

Details:

  • PhD students at Berkeley and Stanford read twice as many major AI ideas from China as from the U.S. While American labs keep research closed and pull talent into industry, China encourages labs like DeepSeek and Alibaba to open source their work

  • The open scientific culture that once drove U.S. innovation is fading. Konwinski says the easy exchange of ideas that led to breakthroughs like the Transformer has been replaced by secrecy, slowing academia and weakening innovation

  • Open research has always driven major advances. AI exists because the Transformer was shared publicly. Konwinski argues the nation that finds the next “Transformer-level” breakthrough will lead the future — and China’s openness may give it the advantage

As Konwinski says, "We're eating our corn seeds." The issue isn’t just competing with China — it’s whether the U.S. remembers that open innovation built its tech leadership.

Top AI & SaaS Tools

  • DepositPhotos (Life-time Deal): 320+ million royalty-included stock images, videos, plus AI tools (Image Generator and AI Editor) for creating and editing visuals for personal and commercial use

  • ERNIE 5: Surpasses GPT-5.1 and Gemini 2.5 Pro, claiming top document and chart understanding and strong multimodal reasoning [F-R-E-E]

  • Google CodeWiki: Ask natural-language questions about your software architecture, locate function definitions, and understand complex logic [F-R-E-E]

  • Planndu App: All-in-one productivity tool that uses AI to turn ideas into structured to-do lists, combining tasks, notes, focus timers, and templates [F-R-E-E]

  • NotebookLM: Latest update adds image input, letting it synthesize info from note photos, textbook screenshots, and web graphs to generate outputs [F-R-E-E]

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AI Tutorial

How to Generate a Virtual Influencer for Instagram Reels and Stories

Creating influencer-style content no longer requires expensive photoshoots, professional models, or big budgets—this workflow shows you how to design realistic, professional assets from scratch in just minutes.

  1. Open Influencer Studio

    Go to Influencer Studio, toggle on the necessary settings, and prepare to generate your influencer.

  2. Set canvas and quality

    • Image Size → Portrait 9:16

    • Quality → High

    This gives you crisp, vertical assets that are optimized for Reels and Stories.

  3. Generate base influencer

    Use a clear persona prompt, for example:

    • “24-year-old American male, olive complexion, dark brown short hair, hazel eyes, athletic build, rugged masculine features”

    Save the best 2 to 3 generations as your base references for consistency.

  4. Lock in framing and lighting

    Keep mid-shot or medium-close framing for social video.

    Use soft, natural lighting or a clean studio light look so skin tones and outfits read well on mobile.

  5. Customize the outfit

    • Actions → Change My Outfit → Generate

    Upload your chosen outfit or variants that match your niche. Keep color and style consistent with your brand or the sponsor.

  6. Add background or venue

    Use concise scene prompts (e.g., Place influencer in a luxury restaurant)

    Generate multiple takes:

    • Seated at a table

    • Near a window

    • Standing entry shot

    Provides A–B–C angles for a natural edit

  7. Refine details and maintain identity

    Check facial consistency across images, fix minor artifacts, and keep hair, eye color, and makeup style aligned with the base persona.

    Export 2 to 4 final stills to use as thumbnails, cover frames, and cutaway shots.

  8. Turn into video

    • Actions → Turn into Video

    Generate a 6 to 12 second clip first for quick testing. If needed, produce a 15 to 20 second version for Reels. Let motion stay subtle and realistic.

  9. Prepare captions, audio, and posting

    Create a short caption with clear CTA. Post on Instagram as the influencer persona - share the video first, then follow with 1-2 stills in a carousel for extra reach.

Note: Avoid cluttered or overly busy backgrounds, since simple and clean environments usually edit better and keep the focus on the influencer.

Top AI & Tech News

  • Rabbit, maker of the R1 AI device, has allegedly failed to pay employees and contractors for months

  • OpenAI’s latest research on sparse, “untangled” neural networks aims to make AI models more interpretable, easier to debug, and govern

  • Google plans to invest $40 billion through 2027 to build three data centers in Texas, aiming to expand infrastructure for AI initiatives

AI Art Spotlight

Create Your Own Photo Like This Using the Prompt Below:

Create a hyper-realistic, stylish poster [x:y aspect ratio] featuring a horizontal tablet-capsule hovering above a surface covered in condensation and water droplets, with its shadow cast on the wet ground. One side of the capsule is transparent glass, while the other is glossy, branding-color plastic, displaying the [brand] logo and name. Seamlessly floating inside the glass portion of the capsule is a photorealistic 3D model [object], perfectly centered and suspended in zero gravity. The glass and plastic surfaces showcase strong reflections, refractions, and environmental distortions. The background is a softly blurred, elegant, light-toned setting. Use a dynamic perspective with a stylish camera angle, professional studio lighting, and ultra-high detail to make the image look like a DSLR-captured photograph with impeccable realism. Model the Bugatti Chiron Pur Sport in that distinct copper/orange bronze tone.

Model: Gemini 2.5 Flash Image (Nano Banana)

Prompt of the Day

Prompt for Writing Humanized Content with AI

This prompt helps AI consistently produce content that feels authentic, conversational, and human. Instead of sounding robotic or overly polished, it guides the AI to use simple language, a natural flow, and emotional connection. The result is writing that resonates with readers, builds trust, and keeps your audience engaged, as if you’re speaking directly to them.

Top AI Video Tutorial

How to Make AI Models Sound Exactly Like You (Fine-Tune Tutorial)

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