Stephanie Reynolds/AFP via Getty Images
Listen below or on the go on Apple Podcasts or Spotify
OpenAI (MSFT) plans to launch a text-to-video AI model. (00:21) Applied Materials (AMAT) soars as AI, Internet of Things drive first-quarter results and guidance. (01:36) Nike (NKE) reportedly plans to cut more than 1,600 jobs to cut costs. (02:43)
This is a summary transcript of the podcast.
OpenAI introduces Sora.
OpenAI said it will introduce a video generation model called Sora that can “create realistic, imaginative scenes from text instructions.”
The company says Sora can generate videos up to 60 seconds long while maintaining visual quality and following user prompts.
The blog post also included several videos demonstrating Sora's capabilities, but noted certain weaknesses in the current model.
“It may struggle to accurately simulate the physics of complex scenes and may not understand certain instances of cause and effect,” the company said.
OpenAI, backed by Microsoft (NASDAQ:MSFT), also said the model could confuse the spatial details of the prompts.
The company will have to contend with Google's (GOOGL) Lumiere, which offers tools to convert text to video and can also convert still images to video.
Sora is currently only available to “red teamers” who assess critical areas for harm or risk. Additionally, many visual artists, designers, and filmmakers are also available to get feedback on how to evolve the model to be most useful to creative professionals.
Applied Materials (NASDAQ:AMAT) soared 12.5% in after-hours trading Thursday after the semiconductor equipment maker reported better-than-expected quarterly results and guidance.
Applied Materials continues to benefit from a surge in investment in artificial intelligence, earning $2.13 per share on revenue of $6.71 billion in the period ended January 28.
Analysts had expected the company to report revenue of $6.49 billion and earnings per share of $1.91.
Applied now expects adjusted earnings of $1.79 to $2.15 per share on revenue of $6.1 billion to $6.9 billion. Analysts had expected earnings of $1.80 per share and revenue of $6.34 billion.
The result sent competitors such as Lam Research (LRCX), KLA Corporation (KLAC), and ASML (ASML) higher in after-hours trading.
Pre-market AMAT is up over 13%.
Nike (NYSE:NKE) plans to cut its workforce by about 2%, or more than 1,600 people.
Nike CEO John Donahoe said in an internal memo that the company is using its resources to increase investments in categories such as running, women's apparel and Jordan Brand.
The job cuts are not expected to affect employees at stores, distribution centers or on innovation teams, The Wall Street Journal reported Thursday.
The cuts are scheduled to begin today, with the second phase expected to be completed by the end of this quarter, the report said.
Other notable articles on Seeking Alpha:
MicroStrategy's $10B Bitcoin Stash Has 70% Unrealized Gains
Albemarle CEO says 'unsustainable' lithium price needs to rise to meet demand
White House: Russia is building 'anti-satellite capabilities' but poses no immediate security threat
In Catalyst Watch of the day,
-
REV Group (REVG) plans to pay a special dividend of $3.00 per share to holders of record on February 9th.
-
Caterpillar (CAT) will hold analyst meeting with Jefferies.
-
Hawaiian Holdings (HA) shareholders will vote on its pending deal with Alaska Airlines Group (ALK).
-
Cerevel Therapeutics (CERE) shareholders are set to vote on a takeover offer from AbbVie (ABBV).
U.S. stocks ended higher on Thursday.
The Nasdaq (COMP.IND), which was under pressure through most of the day, moved into positive territory just after noon and maintained its gains, ending up 0.30% higher.
The S&P 500 (SP500) rose 0.58% to a new closing high, while the Dow Jones Industrial Average (DJI) rose 0.91%.
All 11 S&P sectors finished in the green except for tech.
Now let's take a look at the market price as of 6am. Dow, S&P, and Nasdaq futures are mixed ahead of today's opening bell. The Dow fell 0.1%, the S&P 500 rose 0.25% and the Nasdaq rose 0.6%. Crude oil fell 0.9% to more than $77 per barrel. Bitcoin fell 0.2% to over $52,000.
In global markets, the FTSE 100 rose 1% and the DAX rose 0.8%.
The biggest pre-market mover of the day was Coinbase Global (NASDAQ:COIN), which rose 12% after turning profitable in the fourth quarter for the first time in three years.
Today's economic calendar:
-
9:10 Federal Reserve's Michael Barr speaks on “Banking Supervision” at the Columbia Law School Banking Conference.
-
12:10 Federal Reserve's Mary Daly speaks at the National Association for Business Economics' 40th Annual Economic Policy Conference on “Navigating Geopolitical Turbulence and Domestic Uncertainty.''
