AI Breakthroughs, Billion-Dollar Bets & Backlash – Global AI News Roundup (Aug 14–15, 2025)
OpenAI’s GPT-5 Takes Center Stage: The past week saw OpenAI launch its GPT-5 model, a new powerhouse that is “multiples more capable than the previous generation” according to Kunal Kothari of Aviva Investors reuters.com. The release of GPT-5 – along with rival Anthropic’s Claude for Financial Services unveiled in mid-July – has sent shockwaves through the tech industry. In Europe, excitement over such powerful models has caused some trepidation: shares of major “AI adopter” software firms like SAP and Dassault Systèmes tumbled as investors began to rethink business models in light of ever more advanced AI reuters.com reuters.com. “With every iteration of GPT or Claude that comes out…it’s multiples more capable… The market’s thinking: ‘oh, wait, that challenges this business model’,” Kothari explained of the sudden selloff in European tech stocks reuters.com. Still, analysts note that not all software companies are equally vulnerable – those with deeply embedded solutions or unique data may prove resilient even as “AI is going to eat software” in some domains reuters.com reuters.com.
