Humans& Raises $480 Million, Eleven Labs Launches AI Music, Xreal Sues Viture

CANADA – 2026/01/22: On this photograph illustration, the People& (People &) brand is seen displayed on a smartphone display. (Picture Illustration by Thomas Fuller/SOPA Pictures/LightRocket by way of Getty Pictures)

SOPA Pictures/LightRocket by way of Getty Pictures

Three month old AI startup Humans& raises a $480 million seed round at a $4.48 billion valuation, one of the largest seed financings on record. Backers embody Nvidia, Jeff Bezos, SV Angel, GV, and Laurene Powell Jobs’ Emerson Collective. Senior AI researchers from Anthropic, Google, and xAI, together with Andi Peng, Georges Harik, and Noah Goodman based the corporate. People& says it’s constructing human centric AI software program targeted on collaboration somewhat than automation, beginning with an AI enhanced messaging platform. The corporate is researching lengthy horizon and multi-agent reinforcement studying, reminiscence, and consumer understanding, reflecting investor urge for food for elite groups pursuing foundational AI analysis paired with product ambitions.

OpenAI annualized revenue surge: OpenAI’s Chief Financial Officer Sarah Friar said the company’s annualized revenue in 2025 exceeded $20 billion, greater than triple its 2024 degree of round $6 billion, with development intently monitoring a speedy enlargement in computing capability to 1.9 gigawatts. Weekly and day by day lively consumer numbers additionally hit all-time highs, reflecting robust demand throughout textual content, picture, voice, code, API and different merchandise. The corporate not too long ago started testing advertisements in ChatGPT within the U.S. to assist fund ongoing growth and infrastructure prices. Friar mentioned OpenAI will focus in 2026 on “sensible adoption” of AI in areas resembling well being, science and enterprise whereas sustaining a versatile stability sheet by means of partnerships somewhat than proudly owning all infrastructure outright. Axios reporting signifies OpenAI stays on observe to unveil its first {hardware} machine within the second half of 2026.

OpenAI plans to ship its first hardware device in 2026, a move into physical products following its acquisition of former Apple design chief Jony Ive’s company io. At an Axios panel at Davos, OpenAI’s Chief International Affairs Officer mentioned the corporate is on observe to announce the machine within the second half of 2026. A number of reviews recommend the preliminary product could possibly be earbuds codenamed “Candy Pea” with a singular design and customized 2-nanometer processor able to dealing with AI duties domestically somewhat than counting on the cloud. OpenAI goals to ship tens of thousands and thousands of models in 12 months one. The technique would give OpenAI a direct {hardware} presence to enhance its software program and practically a billion weekly customers of ChatGPT, however faces powerful competitors from entrenched merchandise with out deep operating-system integration.

OpenAI outlined a plan to begin testing advertisements inside ChatGPT for Free and ChatGPT Go tiers in the U.S. in the coming weeks as part of a broader effort to expand affordable access to its AI tools while diversifying revenue streams. Adverts can be clearly labeled and separate from responses, positioned on the backside of solutions when related to the dialog, and won’t affect ChatGPT’s outputs. OpenAI says it would maintain conversations personal from advertisers, by no means promote consumer information, and provides customers management over personalization settings. Greater-tier subscriptions like Plus, Professional, Enterprise and Enterprise will stay ad-free. The transfer goals to maintain entry with out forcing paywalls, balancing consumer belief with income wants.

Xreal filed a patent infringement lawsuit against rival AR glasses maker Viture, extending an earlier legal clash that began in Germany. A German courtroom had granted Xreal a preliminary injunction associated to birdbath optics used within the Viture Professional, briefly limiting gross sales of that mannequin, a ruling Viture is interesting whereas difficult the patent’s validity. Xreal then introduced the dispute to the U.S., submitting go well with in Texas in opposition to Viture’s American enterprise. The case unfolds as each corporations announce roughly $100 million funding rounds and reposition their merchandise, with Viture gaining traction in gaming targeted show glasses and Xreal aligning with Google’s Android XR, turning a slender optics dispute right into a broader aggressive struggle.

TikTok has quietly launched PineDrama, a standalone micro-drama app now available in the U.S. and Brazil that reframes narrative storytelling for vertical mobile consumption. Each video on PineDrama is a one-minute episode in a serialized fictional story, spanning genres like thriller, romance and household drama, with vertical feeds and customized suggestions just like TikTok’s core expertise. The app is free and at present ad-free, with “Uncover” and “Trending” sections to browse content material and options like favorites and viewing historical past. PineDrama marks TikTok’s wager on bite-sized fiction, positioning the corporate deeper into the rising micro-drama market distinct from user-generated quick clips.

Higgsfield this week rolled out a paired product technique that mixes AI character creation with marketing campaign based mostly monetization. The brand new AI Influencer Studio is a Sims fashion visible character builder that lets creators design persistent digital personas with out immediate writing, with effective management over facial options, our bodies, markings, and non-human kinds, producing video prepared property in a number of side ratios as much as 4K. Alongside it, Higgsfield Earn features as a managed influencer market. Manufacturers fund campaigns by means of Higgsfield, creators confirm possession of their Instagram or YouTube accounts, choose into particular campaigns, publish required quick kind movies, and are paid based mostly on measured efficiency together with views, engagement, and completion charges. Higgsfield tracks outcomes, applies marketing campaign payout formulation, and handles distribution and fee. Minimal eligibility features a public account, three posts, and roughly 1,000 followers. Collectively, the 2 merchandise place Higgsfield as each a creator toolmaker and an middleman that connects AI generated or human led influencer content material on to efficiency based mostly model spend.

ElevenLabs launched ElevenLabs Music, expanding beyond synthetic voice into AI generated music and putting the company into direct competition with Suno and Udio. The platform generates full, commercially usable compositions from textual content prompts, with instruments for enhancing lyrics, timing, and instrumentation, and helps multi stem downloads for conventional studio workflows. ElevenLabs launched the product alongside The Eleven Album, that includes unique releases by artists together with Liza Minnelli, Artwork Garfunkel, and Michael Feinstein, who retain possession and streaming income. The corporate is positioning its method round opt-in participation, licensing, and rights holder management, betting skilled creators will favor ruled AI music programs over open client era.

This column has a companion, The AI/XR Podcast, hosted by its writer, Charlie Fink, and Ted Schilowitz, former studio government and futurist for Paramount and Fox, and Rony Abovitz, founding father of Magic Leap. This week our visitor is Dean Leitersdorf of Descart AI. We may be discovered on Spotify, iTunes, and YouTube.