One quick thing: Madras HC gives relief to startups over Google's billing policy

In today’s newsletter:

• OpenAI's Sam Altman on meeting PM Modi
• Funding winter chills unicorn appraisals
• Rahul Yadav delays Info Edge's audit request

Was this newsletter forwarded to you? You can sign up for Tech3 here

While the world has been captivated by the advancements in artificial intelligence (AI) and the need to regulate it, Prime Minister Narendra Modi today had a private conversation with OpenAI CEO Sam Altman to get a sense of the emerging technology.

During a stopover in Delhi on his whirlwind world tour, Altman spoke with PM Modi about global regulations for AI and the application of the technology in education.

“We talked about the opportunities in front of the country, what the country should do, also the need to think about global regulation to make sure we prevent some of the downsides from happening — but it was great…,” the OpenAI CEO said.

The meeting comes against the backdrop of India's efforts to regulate AI in the upcoming Digital India Bill, which will serve as the country's primary law for managing digital technologies.

• Last month, the government indicated it differs with Altman's suggestion to create an international authority to track and regulate the development of AI

Altman also revealed that OpenAI is looking to invest in Indian startups, and discussions on the matter took place yesterday. 

• He quipped that some of his suggestions to young companies when he was the head of the Silicon Valley incubator Y Combinator had been proven wrong

Appraisal season in the startup ecosystem is about to end, leaving a bad taste in the mouths of employees who are already beaten down by the looming threat of layoffs.

About 30% of unicorns have set aside minimal to zero budgets for cash raises this year, shows data from consulting firm Aon. 

The appraisal budgets of unicorns have declined to an average of 7.7% of salary expenses in 2023, down from 12.1% in 2022.

"No appraisal is the best increment that a person can get in this (job) market," said Prateek Shukla, cofounder of Masai School.

In contrast to 2021, when startups hired aggressively as investors competed to sign term sheets quicker, the trend has now reversed. 

• With the funding pipeline running dry, tech startups are racing to become profitable by cutting costs.

The first item on the agenda is reducing employee benefit expenses, which skyrocketed a year ago.

Go deeper

Intensifying the ongoing dispute between Info Edge and Broker Network founder Rahul Yadav, the latter has requested two weeks to consider granting permission for a forensic audit.

• Info Edge, the company's largest shareholder, previously disclosed that it had initiated a forensic audit, appointing Deloitte as the auditor

Yadav, however, has been unresponsive to Info Edge's repeated requests for financial data and other details.

Sources tell us instead of complying with the requests for data, Yadav has been asking Info Edge for additional funds in exchange for sharing the information. 

• Broker Network has already exhausted Rs 192 crore of investor money in the past 14 months

The forensic audit is expected to scrutinise multiple employee complaints against Yadav and investigate cases related to Broker Network.

Info Edge owns around 60% of Broker Network. According to the shareholder agreement, it is entitled to full access to the data, sources tell us.

• It remains unclear whether Info Edge will resort to legal action to enforce the audit after the two-week period requested by Yadav

Find out more

Terminal 2 of the Bengaluru airport is set to welcome international passengers starting from September 1. The new T2, which was inaugurated in November 2022 and built at a cost of Rs 5,000 crore, is expected to provide a brand-new experience for international travellers.

The new terminal will feature enhanced baggage drop facilities, a streamlined immigration and security screening process, as well as the addition of more duty-free outlets, restaurants, and lounges for passengers.

• Bangalore International Airport Ltd (BIAL) CEO Hari Marar says that they aim to make Bengaluru airport the gateway, not just for South India, but for the entire country

Go deeper

On June 8, 1955, Tim Berners-Lee, the creator of the World Wide Web, was born. The internet already existed but primarily served as a means for transferring data between computers. However, Tim's groundbreaking work involved implementing the first successful communication between a Hypertext Transfer Protocol (HTTP) client and the internet.

In recognition of his pioneering work, he was awarded a knighthood by Queen Elizabeth II in 2004.

•  The US Securities and Exchange Commission has alleged in a court document that Binance CEO Changpeng Zhao and financial manager Guangying Chen received billions of dollars of customer funds through their holding company.
  
  
• Terraform Labs co-founder and CEO Do Kwon could face multiple prison sentences in the United States and South Korea, according to a South Korean prosecutor leading the investigation.

Since the advent of cameras, taking pictures has become an integral part of our lives, allowing us to capture cherished and iconic moments. But this is all set to change.

Danish designer Bjørn Karmann has created a controversial prototype of an AI-powered camera that has stirred up strong emotions among people. This camera challenges the traditional notion of photography and the essence of capturing an image. Enter, Paragraphica! (Oh, and did we mention it has no lens?)

Resembling a prop straight out of a science fiction movie, this camera is the world's first context-to-image device. It uses location data, time, weather, and nearby landmarks to generate a paragraph based on this information, which is then converted into an image. 

Although the AI camera is still in the development phase, it possesses the potential to revolutionise the way we take pictures.

Check it out

Note: By subscribing to Tech3 you have already made the right choice. Top it up with a premium offering, the Moneycontrol Pro Panorama, a newsletter that gives you a sharp take on macros, markets, business and finance. Sign up for Pro from this link to get this newsletter in your inbox and also a host of content enjoyed by 500,000+ subscribers.