Apple says it will issue a software fix for an unusual and ill-timed transcription issue that's been shown in multiple TikTok videos. The issue led to some iPhones displaying the word "Trump" when performing voice-to-text transcription with words that include "racist." An Apple spokesperson said the company was aware of the problem, which it attributed to a speech-recognition model problem and said, "We are rolling out a fix." Apple said "phonetic overlap" with the words that include the consonant R were triggering the bug.In our own informal test, CNET was not able to get iOS version 18.1.1 to display the word "Trump" when using words including "racist," "rhubarb," "rhythmic," "ramp" or "ruffles." The New York Times reported that it was able to replicate the issue several times.A newer version of iOS, 18.3.1 was released earlier in February.It's possible that the suggested word was capitalized as the start of a sentence, not necessarily as a proper name. And instead of referencing the president's surname, the use of "trump" could be a reference to the word that means to beat or gain an advantage over.One former Apple employee speculated to the Times that someone who works on Apple's software may have intentionally programmed in the glitch.Read more:Activision Confirms 'Call of Duty' Features AI-Generated VisualsBut Haibing Lu, Associate Professor at the Leavey School of Business at Santa Clara University, thinks the embarrassing error could just be a mistake."Voice-to-text systems depend on probabilistic language models that predict words based on sound patterns and context," Lu said in an email to CNET. "When audio clarity falters or words sound too similar, the system might momentarily pick an odd alternative before trying to auto-correct."This mishap highlights both the current technical limits and the bias challenges inherent in large language models, Lu said.Another expert noted that AI has its limitations, and errors like this one can erode trust in the still-new technology."AI is only as smart as the data it's trained on," said Scott Stephenson, founder and CEO of Deepgram, an AI platform working in APIs for text-to-speech.Stephenson said the bug is more evidence that "voice recognition should be about understanding, not assuming," noting that "the goal isn't just accuracy, it's trust."Apple has not said exactly when a fix will be issued.News of the bug emerged during the same week that Apple, the world's largest tech company, announced it's investing $500 million in the US, including money for Apple TV Plus content creation and about 20,000 new jobs. The company's CEO Tim Cook met with President Donald Trump last week.

Eternal Strands teams up with Final Fantasy artist and No More Heroes studio for free DLCCollabs announced in new roadmap.Image credit: Eurogamer/Yellow Brick Games/Grasshopper Manufacture News by Matt Wales News Reporter Published on Feb. 26, 2025 Eternal Strands, the well-received action-RPG from Dragon Age boss Mike Laidlaw's Yellow Brick Games studio, has shared its latest roadmap, promising - among other things - free DLC created in collaboration with Final Fantasy concept artist Yusuki Mogi and, separately, No More Heroes studio Grasshopper Manufacture.Eternal Strands, if you're in need of a refresher, launched last month, inviting players to follow the adventures of Brynn - a member of a dwindling group of magic users known as the Weavers - who sets out across a fantasy kingdom ravaged by a cataclysmic magical event to uncover its mysteries and recover her people's cultural home.In gameplay terms, it borrows bits from the likes of The Legend of Zelda: Breath of the Wild and Shadow of the Colossus, with a bit of Monster Hunter thrown in - a mix Christian Donlan reckoned made for a "combustible and hilarious sandbox" in his four star Eurogamer review.Eternal Strands launch trailer.Watch on YouTubeAnd now, with Eternal Strands' first month of release almost behind it, Yellow Brick Games is ready to start discussing its post-launch plans. And that begins with a "Day 30 Patch" coming in March and promising a range of enhancements. There's talk of improved character movement to reduce its "slippery" sensation, for instance, as well as improved combat responsiveness, reduced Umbral Darter presence in certain areas, bug fixes, and more.Then it's onto the fun stuff. Sometime this "spring", Eternal Strands will receive its first free DLC. This'll see Yellow Brick teaming up with Final Fantasy XIV and XVI concept artist Yusuke Mogi to design and introduce a new in-game epic, a new armour set, and new weapon skins. Eternal Strands' spring update also promises a new map and magic power, a weapon and armour dying system, Oria's tips and tricks, plus further bug fixes. Image credit: Yellow Brick GamesThat'll eventually lead into summer, when Eternal Strands' second free DLC update arrives. This is a collaboration with No More Heroes studio Grasshopper Manufacture, and is set to deliver currently unspecified "new content", among other things.Ahead of March's first major patch release, Yellow Brick has shared developer notes outlining its key changes in more detail. Additionally, the studio is set to hold an Eternal Strands Ask Me Anything on Reddit this Thursday, 27th February at 4pm GMT, where it'll be nattering about everything from the game's lore to the future features and content it has planned.

Commercetools a headless commerce platform that provides APIs to companies building online storefronts saw a major boost in its business just a few years ago, raising money at whopping $1.9 billion valuation as the world went shopping online in the wake of the Covid-19 pandemic, and businesses rushed to improve their e-commerce operations.Today, the playbook looks a little different for e-commerce, and for Commercetools.TechCrunch has learned and confirmed that Commercetools has laid off dozens of employees over the last few weeks, including around 10% of staff earlier Wednesday, after failing to meet its sales growth targets. Its also making a number of executive changes, including parting ways with its chief revenue officer and CFO, and reassigning the roles previously held by its chief information security and compliance officer.While weve made meaningful progress and our business continues to grow, over the last several quarters we havent fully achieved our aggressive revenue growth targets, CEO Andrew Burton said in a memo to the company, which TechCrunch has viewed. That reality has required me, our executive team, and our Board to take a hard, in-depth look at where we fell short, where we showed strength, and what needs to change to build a stronger future.Significant restructuring will be carried out in marketing, sales, and internal operations such as HR and finance, according to the memo. Select staff in customer and product development will also be cut after reviewing performance and impact.The full memo, shared by a source and confirmed as authentic by the company, is published below.Burton, speaking to TechCrunch after we contacted the company about the memo, said that around 10% of the companys employees were affected today, but declined to give an exact number. A source, who spoke to TechCrunch on condition of anonymity, said todays layoffs total more than 70 people and, including the smaller layoffs of the last few weeks, make up to 20% of staff. Burton also added the company has 25-30 open roles its looking to fill. Its a difficult bump in the road for a company that appears to havehad a strong run in the market. Originally founded in 2006 in Munich, Germany, Commercetools raised just $30 million in outside funding before it was acquired by retail giant REWE in 2015. By 2019, it was seeing its revenues growing at 110% annually, and so REWE spun it out as a startup again, backed with $145 million in funding from Insight Partners at a $300 million valuation.After Covid-19 hit, Commercetools business boomed as shopping of all kinds went digital. Less than three years after the spin-out investment, it was able to raise $140 million at a $1.9 billion valuation led by Accel.Through all of this, Commercetools founder Dirk Hrig led the company as CEO. He stepped away from the top position in July 2024, to be replaced by Burton. (Hrig has retained a seat on the board and is the companys Chief Innovation Officer.)At the time, the company was making far beyond $100 million in annual recurring revenue, and Burtons arrival was seen as a precursor to the company going public, reportedly in 2025 or 2026. Burton declined to comment today on an IPO or other future plans. The memo cites, at a high level, that Commercetools was missing its growth targets, but there have been other more specific shifts in the market.While Commercetools was a very early mover in the space of headless commerce a term first coined by Hrig a number of competitors have emerged in more recent years. Chief among them is Shopify, which originally pitched itself to smaller merchants and has gradually grown into working with the same larger retailers that Commercetools targets.E-commerce has continued to grow, but not at the breakneck pace seen between 2020 and 2022. The most recent U.S. Census Bureau figures noted that U.S. retail e-commerce grew just 2.7% from the third to the fourth quarter of 2024, totaling $308.9 billion and accounting for 16.4% of all retail sales. Earlier today, eBay noted that its Q4 sales grew just 1%.Burton also cited question marks over how tariffs would play out as another factor impacting e-commerce companies, and the knock-on effect that has on suppliers like Commercetools.We had really ambitious goals that we had not reset to reflect the macro-economic uncertainty, Burton told TechCrunch today.Finally, while brand-owned storefronts a mainstay business for companies like Commercetools continue to make up a giant part of the e-commerce market, theyre also competing against a new wave of marketplaces. Temu, Instagram, and TikTok all represent a new kind of social commerce that once again could change the game.The balls in the court for companies like Commercetools to anticipate and build for wherever and however people may want to shop in the future.Memo below:Subject:Important UpdateHi team,Over the past few years, we set ambitious goals, anticipating strong market growth. While weve made meaningful progress and our business continues to grow, over the last several quarters we havent fully achieved our aggressive revenue growth targets. That reality has required me, our executive team, and our Board to take a hard, in-depth look at where we fell short, where we showed strength, and what needs to change to build a stronger future.As part of this, we made the difficult decision to restructure a few teams, implement targeted reductions in specific areas, and eliminate some roles. This decision is not a reflection on individual commercetoolers, their talent, dedication, or impact, but instead a necessary step to sharpen our focus and re-positioncommercetoolsto be in a stronger position to navigate and succeed in this turbulent market.Many of you have built strong relationships with the colleagues who are leaving today. They have shapedcommercetoolsin ways big and small, and we are truly grateful. We are providing all impacted employees with severance and continued benefits above the market standard. Additionally, we are continuing their access to OpenUp, our online platform offering diverse mental health support resources, to support them in this transition.I know this is hard news to process. Change brings uncertainty, and we are committed to providing as much clarity, support, and direction as possible. To help answer common questions, weve put together an Employee FAQ that outlines key details about the restructuring, resources available, and whats next.To give everyone space to reflect, we are giving all employees this Friday, February 28th as a day off.Your executive leader will meet with your department later today or tomorrow to discuss what this means for you and your team.Whats ChangingC-level Updates:Bruno Teuber (CRO) Transitioning out of the executive team, staying as an advisor until the end of H1. A new CRO search has started; in the interim, sales will report to me.Dan Murphy (CFO) Transitioning out of the executive team, advising until the end of H1. CFO rolewill not be backfilled; Finance, Digital Solutions, and Legal will report to Matt Tuel (COO).Denis Werner (Chief Information Security & Compliance Officer) Moving to a compliance-focused role under Dirk Hrig. IT Ops moving to Digital Solutions under Matt Tuel, Information Security moving to Product under Hajo Eichler, and Office Management moving to People under Roxana Dobrescu.Teams with Significant Restructuring:Marketing (including BDRs) Realignment to focus on enterprise GTM model and sales PODs.Sales & Operations Restructuring to improve sales support and focus on top markets/customers.Enablement Functions (Finance, People, etc.) Consolidating teams for better operational efficiency.Other Impacted Areas Select cuts inCustomer and Product Developmentafter reviewing performance and impact.Change is never easy, but its at the core of what we do helping businesses adapt to new realities. Now, were doing the same. In ourCompany All Hands tomorrow, we will walk through these changes in more detail the why, what, and how we move forward together staying true to our belief in adapting boldly to build whats next.Andrew

The boom in ecommerce post-pandemic meant shops moved online. However, some merchants ended up with dozens of separate app providers to accommodate everything from supply chains, inventory, and marketing. The founders of Shop Circle realized this and either built or bought many such apps. The company has now raised $60 million in a Series B fundraise led by Nextalia Ventures in order to scale up this strategy.With this funding, Shop Circle has also completed the acquisition of Aiden, an AI-powered, so-called guided-selling software used by such ecommerce giants as LG, Prenatal, and Intersport, among others.Shop Circle claims its year-on-year revenues have increased by 110%, which helped it raise funds, as did its focus on commerce-centric products powered by the increasing power of generative AI integration. It also has been profitable for two consecutive years.Our main solutions range from AI-driven product discovery, primarily for commerce, up-selling, review management, inventory management, and the strength is that all the software comes together under one unified Shop Circle platform, said CEO and co-founder Luca Cartechini.Asked about their competitors, he said: We do have several competitors for each of the category But none of them have all the products under one platform.In fact, part of Shop Circles success lies in its deep integration with Shopify: Shopify is a partner for us and were the largest provider of solutions in the Shopify app store, basically the App Store of Shopify, he said.In a statement, Francesco Canzonieri, CEO of Nextalia said: Shop Circle stands out in the industry with its innovative approach to delivering a unified B2B software suite.Additional participants in this funding round included Endeavor Catalyst, along with existing investors such NFX, QED Investors, 645 Ventures, 3VC, and i80 Group.This latest fundraising follows a $120 million 2023 raise that was led by 645 Ventures and 3VC.

The New York Embroidery Studio (NYES), a surface design studio specializing in embroidered designs and textile embellishments for high-profile events like the MET Gala, has integrated the Stratasys J850 TechStyle, marketed as the worlds first additive manufacturing system designed for direct printing on textiles. This addition enables the studio to create detailed, tactile designs, improve workflow efficiency, and reduce material waste.The J850 TechStyle is an extraordinary addition to our capabilities. Our clients are thrilled by the possibilities this technology opens upfrom high-end fashion to VIP and entertainment projects. Combining the precision of 3D printing with our expertise in embroidery allows us to push boundaries like never before, said Michelle Feinberg, Owner and Creative Director of NYES.Zehavit Reisin, Senior Vice President of Consumer Solutions and Material Business at Stratasys, explained that a key advantage of the solution is its alignment with NYESs focus on sustainable production. By enabling on-demand manufacturing and reducing surplus inventory, this partnership demonstrates how new technologies can transform design studios and improve fashion industry processes, said Reisin.NYES announced that the J850 TechStyle printer will remain central to its offerings as the studio continues to integrate advanced technologies into its production processes. The studio also revealed plans to host open house events in 2025 to showcase the capabilities of 3D fashion printing to designers and clients.3D Printed Lace. Photo via: Stratasys.Stratasys J850 TechStyle Printer and Expansion of CapabilitiesStratasys has been a significant contributor to 3D printing in fashion for years. In 2022, the company launched the J850 TechStyle, a full-color PolyJet 3D printer. This printer allows fashion designers and manufacturers to create personalized designs for clothing, accessories, and footwear.In 2024, Stratasys expanded the J850 TechStyles capabilities by introducing the Direct-to-Garment (D2G) feature. This update enables printing on a wide range of fabrics, such as denim, cotton, polyester, and linen. The D2G feature allows fashion brands to offer customized clothing solutions tailored to specific customer preferences and styles. Stratasys highlighted that D2G helps reduce material waste by repurposing existing garments into new, customized pieces, supporting sustainability within the fashion industry.3D Printed Bejeweled Insects. Image via: Stratasys.3D Printings Impact on Fashion Design and SustainabilityA prime example is Flexora, a 3D-printed footwear project launched in 2024, which merges high-resolution printing technology with algorithmic design to create flexible, performance-oriented shoes. Developed by Global Architecture Studio SASI Studio under the direction of Naomi Kaempfer, Creative Director at 3D printer manufacturer Stratasys, the project prioritizes both comfort and functionality. The design features intricate high-definition patterns that enhance aesthetics, durability, comfort, and structural integrity.Another standout project comes from a collaboration between students from Arts University Plymouth and Plymouth Marine Laboratory (PML), who designed a 3D-printed dress inspired by Coccolithophores, plankton essential to the carbon cycle. The dress, titled The Plankton Lady, addresses ocean warming and acidification and is now part of The Boxs Planet Ocean exhibition.Elsewhere, Coperni introduced its gel bag at Disneyland Paris, created using Rapid Liquid Printing (RLP), a technique developed by MITs Self-Assembly Lab. RLP fabricates objects directly within a gel suspension, enabling the creation of soft, stretchable, and durable designs. Made from recyclable platinum-cured silicone, the bag highlights how advanced manufacturing techniques can seamlessly blend with fashion design while maintaining a strong focus on sustainability.What 3D printing trends should you watch out for in 2025?How is the future of 3D printing shaping up?To stay up to date with the latest 3D printing news, dont forget to subscribe to the 3D Printing Industry newsletter or follow us onLinkedin.While youre here, why not subscribe to our YouTube channel? Featuring discussion, debriefs, video shorts, and webinar replays.Featured image shows 3D Printed Lace. Photo via: Stratasys.

Sessions at TECH Rize LA will explore the seismic shifts shaping architecture and design, examine the ripple effects of emerging technologies, and challenge conventional thinking about what it means to adapt in an age of relentless change. Join us and be part of the conversation thats shaping resilient, future-ready practices. Register HereAgenda:Meet/Greet/Coffee and Networking: 8:00 a.m to 8:30 a.m.Presidents Address, Welcome: 8:30 a.m. to 8:45 a.m.Chava Danielson, AIA, principal at DSH ArchitectureChun Liu, AIA, CO ArchitectsNicole Buhles, associate AIA, associate principal practice technology at HEDPanel:Signals and Shifts: What the Tech Supercycle Means for AECOMelvin Williams III, regional practice technology leader at HKSPaul Doherty, CEO and president at the digit groupLeo Salce, principal at Avant LeapErin Khan, principal at Erin Khan ConsultingBilly Almon, astrobiofuturist Presentation:Under the Hood of AI in AECO: Overcoming Real-World Challenges in Custom Solution DevelopmentLeo Salce, principal at Avant LeapBreakPresentation:Data-Driven Decarbonization: Next generation tools to spur climate action on every projectJack Rusk, cofounder and CEO at C.ScaleKeynote Presentation:Singularity and The Circular EconomyPaul Doherty, CEO and president at the digit groupLunch 12:20 p.m. to 1:40 p.m.Exhibitions/Interactives 1:00 p.m. to 2:00 p.m.Breakout Presentation:Streamlining Data Center Design with Advanced Computational ToolsAmanda Gioia, RA, NCARB at HED Breakout Panel:2030 and Beyond: Shaping A Sustainable Future with TechnologyThesla Collier, international associate AIA, design technology manager at HNTBErik Narhi, AIA, computational design lead at Buro HappoldAbena Darden, vice president sustainability and resilience at Thornton TomasettiErin Khan, founder and senior consultant at Erin Khan ConsultingAugust Miller, senior project designer and senior associate at Perkins+WillBreakout Presentation:Game Engines in Architecture: Enhancing Workflows and Empowering ClientsShervin Peyghambari from CO Architects Breakout Panel:Empowering Growth: Scaling Knowledge in an Ever-Changing LandscapeChun Liu, AIA, CO ArchitectsEnrique Galicia, AI director at Avant LeapAnne Carpenter, director at Global eTrainingRobert Yuen, CEO and cofounder at MonographReg Prentice, CEO at Tonic DMBreakout Presentation:HMC Architects & Forma- Driving Sustainability and Innovation to Design for GoodVenus Emrani, sustainability design analyst at HMC ArchitectsRobin Franke, adoption specialists at AutodeskClosing Remarks from 3:40 p.m. to 4:00 p.m.

This Italianate Villa style mansion on Hillhouse Avenue in New Haven, Connecticut, was built in 1859 for Pelatiah Webster Perit (1785-1864), a successful New York City shipping merchant and president of the New York Chamber of Commerce. Perit split his time between New York and New Haven and would hire architect, Sidney Mason Stone, to design this home on Hillhouse Avenue in New Haven. The brownstone residence is notable for its elaborate scroll brackets supporting the window pediments and front entry portico with arched doorway with rope moldings. The mansion was occupied by Perit for just four years until his death in 1864, and it was later owned by Henry Lucius Hotchkiss, a businessman. Like nearly all buildings on Hillhouse Avenue, the building was acquired by Yale University and is now known as Horchow Hall, and is part of the Yale School of Management.

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UFC Fence (Photo by Chris Unger/Zuffa LLC via Getty Images)Zuffa LLC via Getty ImagesOn Wednesday, February 27, four-fight UFC veteran and Longo MMA product Dennis Buzukja was handed a nine-month suspension by the Nevada State Athletic Commission for his role in a post-fight skirmish with an antagonistic fan at T-Mobile Arena in Las Vegas during UFC 310 in December.According to several reports, Buzukja is facing a nine-month suspension that could be reduced to six months if he completes community service in Nevada. In addition to the suspension, he will be fined $2,500 and charged $157.04 in attorney fees.ATLANTIC CITY, NEW JERSEY - MARCH 30: Dennis Buzukja warms up prior to his fight during the UFC ... [+] Fight Night event at Boardwalk Hall Arena on March 30, 2024 in Atlantic City, New Jersey. (Photo by Cooper Neill/Zuffa LLC via Getty Images)Zuffa LLC via Getty ImagesBuzukjas suspension is currently set to run through Sept. 6, 2025, but it could end in June with the reduction. The incident seems to have stemmed from the rivalry between Buzukjas teammates and friends, Aljamain Sterling and UFC mens bantamweight champion Merab Dvalishvili, and their beef with Umar Nurmagomedov.A fan some believe to be part of Nurmagomedovs camp or entourage antagonized Dvalishvili as they left the Octagon following Sterlings razor-thin loss to Movsar Evloev on Dec. 7, 2024.Video footage shows security intervening, separating Dvalishvili from most of the commotion, but Buzukja and the man believed to be a Nurmagomedov supporter appeared to have exchanged punches.Here is a look at the video:Dvalishvili has said the fan was the culprit, inciting the near-brawl as he was preparing for his fight with Nurmagomedov the following month. Dvalishvili successfully defended his title against Nurmagomedov via unanimous decision.Buzukja has said that he only approached the fan to tell him to relax and to show some respect. Quickly, things spun in another direction.The suspension couldnt come at a worse time from a professional standpoint. The 27-year-old is coming off a split-decision loss to Francis Marshall in August 2024, and hes only managed a 1-3 record in the UFC since being signed.Despite a pair of appearances on Dana Whites Contender Series (1-1), Buzukja failed to make the main roster through that route. He got his first opportunity when he stepped in on short notice to take on Sean Woodson in August 2023.Buzukja missed weight for the fight and lost by unanimous decision. Three months later, he was knocked out in the first round by Jamall Emmers at UFC 295.Buzukja bounced back in March 2024 with a performance-bonus-winning third-round TKO win over Connor Matthews.With the suspension, the recent loss to Marshall, and his negative record in the UFC, Buzukja could have his back against the wall in his next fight. Id expect him to be ready to fight around June or July, but if he falls, that might lead to his release.Up Next - UFC Vegas 103Manel Kape will get his opportunity to prove he is worthy of a title shot. He will face Asu Almabayev in the UFC Vegas 103 main event on Saturday, March 1.Here is a look at the entire card:Manel Kape vs. Asu Almabayev FlyweightCody Brundage vs. Julian Marquez MiddleweightNasrat Haqparast vs. Esteban Ribovics LightweightAusten Lane vs. Mario Pinto HeavyweightWilliam Gomis vs. Hyder Amil FeatherweightDanny Barlow vs. Sam Patterson WelterweightRicardo Ramos vs. Chepe Mariscal FeatherweightDouglas Silva de Andrade vs. John Castaeda BantamweightAndrea Lee vs. JJ Aldrich FlyweightLucas Almeida vs. Danny Silva FeatherweightMontana De La Rosa vs. Luana Carolina FlyweightCharles Johnson vs. Ramazan Temirov Flyweight

ChatGPT icon displayed on a phone screen is seen in this illustration photo taken in Krakow, Poland ... [+] on September 26, 2023. (Photo by Jakub Porzycki/NurPhoto via Getty Images)NurPhoto via Getty ImagesHow Tech Giants Locked Up the AI Model MarketThe concentration of AI model development among a handful of tech behemoths has become increasingly evident. A study published in Economic Policy highlights the economic threats posed by dominant firms in generative AI, where immense computational requirements create nearly insurmountable barriers to entry for smaller players."AI is a general-purpose technology. It's being applied to everything. But what type of AI we get and what type we don't get is going to be affected by the power of just three companies. It's an intellectual monopoly. What they are controlling is data and knowledge," notes industry researcher Rikap.This dominance is further cemented by control over critical infrastructure. Amazon, Google, and Microsoft collectively control approximately 65% of global data center capacity, providing them with the essential backbone for AI development and deployment. These "hyperscalers" have created a playing field where competing directly on model development has become nearly futile for startups. The cost per million tokens for large language models has plummeted from $180 to under $1 in just 18 months, demonstrating how aggressively these tech giants are driving down costs.Skip the Model Arms Race: Why Building Your Own LLM Is a Dead EndFor startups and venture capitalists, the implications are clear. Building new foundational models is becoming an increasingly losing proposition unless you have near-unlimited resources. Companies like Replit illustrate this trend after initially fine-tuning their own code repair model, they later switched to using OpenAI's off-the-shelf models.Why compete in a race where the finish line keeps moving? As Thomas Dohmke, GitHub CEO, revealed in a recent post, "Copilot today not only uses one but a variety of models, including OpenAI's 3.5 turbo for autocompletion, 4 turbo for chat, and 4o for workspace." The message is clear: even industry leaders are leveraging multiple existing models rather than building their own.Performance benchmarks show all models both open and closed source are converging rapidly. Llama 3.1 405B has closed much of the gap with closed-source models, further eroding any potential advantage in building proprietary base models.Target the Real Opportunity: Building the Interface That Captures Market ShareWhile model development becomes increasingly monopolized, a fascinating counter-trend is emerging - the race to build the most usable interface. This perspective is gaining traction among forward-thinking investors. Over $1.5 billion in funding has already poured into AI-assisted coding tools, with sophisticated investors like Andreessen Horowitz and Founders Fund backing various approaches. But the real battleground is shifting from the underlying models to how humans interact with them.Consider the evolution of consumer technology. The iPhone didn't win by creating fundamentally new technologies it revolutionized how existing technologies were integrated into a seamless user experience. Similarly, the next wave of AI winners will likely be companies that perfect the interface layer, making AI accessible, intuitive, and genuinely useful to humans.Master These Three Layers to Build a Winning AI StrategyUnderstanding this shift requires recognizing the three critical layers of modern AI systems:Models: The foundational large language models (LLMs) that provide the core AI capabilities.Middleware: The connective tissue that orchestrates multiple models and manages how they interact with the interface.Interface: Where human-AI interaction actually occurs.For startups facing the monopolized model layer, the strategic path forward lies in focusing on the latter two layers. As Codium.ai CEO Itamar Friedman notes, their product integrates over 60 different models, managed through sophisticated middleware that ensures each model is used optimally for its specific task.This approach offers significant advantages. Instead of competing directly with tech giants on model development, companies can remain agile, integrating improved models as they become available while focusing on creating superior user experiences.Solve the Infrastructure Problem to Unlock New AI CapabilitiesA key but often overlooked challenge in building effective AI interfaces is infrastructure. Most companies expect their AI agents to function on the user's local environment, which introduces several critical issues, including operability problems across different operating systems, compute constraints, and security risks.Devin.ai by Cognition offers a promising solution with cloud-based sandbox environments. These eliminate local machine constraints, providing necessary compute power to run multiple tasks in parallel without overloading the developer's hardware. The cloud-based approach allows for better scalability, parallelization, and a more secure way to manage AI operations.Avoid These Two Dead-End Interface ApproachesThe real opportunity for innovation and investment lies in solving interface challenges that remain unsolved. Currently, two flawed approaches dominate the landscape:First, many AI tools rely on existing code editors or integrated development environments (IDEs) like Visual Studio Code. This is problematic because it hands control of the interface to Microsoft, which already dominates both the middleware and interface layers with GitHub Copilot and VS Code. Building on top of VS Code puts startups in a precarious position, where Microsoft can easily outmaneuver them by incorporating similar features natively.Second, companies attempting to create entirely new interfaces often called "studios" or "slices" that combine chat, text editors, terminals, and browsers face fundamental flaws. These interfaces are typically built around the limitations of current AI models rather than aligning with best practices in software development, creating friction instead of eliminating it.The critical missing piece is effective human-AI collaboration. Current solutions fail to maintain shared context and history between human and AI efforts, resulting in inefficiencies and increased cognitive load due to frequent context switching. This represents the enormous opportunity for startups and investors. The company that creates a unified, fluid experience where humans and AI collaborate effortlessly will define the future of AI-driven software development and likely capture billions in market value.Where to Place Your Bets: Three Key Investment OpportunitiesFor venture capitalists looking at the AI landscape in 2025, the implications are clear. The most promising investment opportunities lie not in funding the next large language model developer, but in backing companies that are:Creating intuitive, powerful interfaces that make AI truly accessible and useful to humansBuilding robust middleware that can orchestrate multiple AI models for optimal performanceDeveloping infrastructure solutions that address the limitations of local computing environmentsThese companies have the potential to create significant value even in a market where the underlying models are increasingly commoditized and monopolized by tech giants.The Next Billion-Dollar Opportunity: Human-Centered AIThe silent revolution in AI isn't about who can build the biggest or smartest model that battle is largely over, claimed by a handful of tech giants with unmatched resources. Instead, the real revolution is happening at the interface layer, where the way humans interact with AI will determine which companies ultimately succeed.For investors and entrepreneurs alike, this shift presents both challenges and opportunities. By recognizing that the interface is the new frontier, they can focus their efforts and resources on solving the problems that remain unsolved creating seamless, intuitive experiences that make AI accessible, useful, and even delightful for humans to use.In this new landscape, the winners won't be those who compete directly with tech giants on model development, but those who focus on the human side of the AI equation turning powerful but complex technology into tools that genuinely enhance human capabilities. That's where the next billion-dollar AI companies will emerge.