March 12, 2025

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AI Sector Tumbles but Innovations Shine with Alibaba Emotional Model, Google Gemma 3, and Meta AI Chip

The AI sector is experiencing a downturn, with stocks like Nvidia, Broadcom, and AMD plummeting in value. However, experts believe that this presents an opportunity for investors to buy on the dip and potentially reap better returns. In other news, Alibaba has released an emotional intelligence model that can read emotions, rivaling OpenAI's ChatGPT. Meanwhile, Google has unveiled a new lightweight AI model called Gemma 3, which can run on a single GPU and outperforms other models in human preference evaluations. Additionally, Meta is testing its first in-house AI training chip, aiming to reduce reliance on external suppliers and optimize AI infrastructure costs. In the education sector, AI is being used to personalize learning and improve student outcomes. For instance, College Possible is using AI agents to help students choose the best courses and provide personalized advice. Finally, a Chinese AI team has won a global award for training a video-generation model on an off-the-shelf industrial chip, outperforming high-end GPUs in speed and efficiency."

### 3 Ways Tech Investors Can Navigate the Artificial Intelligence (AI) Sector Tumble

Tech investors can navigate the AI sector tumble by identifying winners and losers, looking to buy on the dip, and employing dollar-cost averaging. Good companies with underlying business models showing success through growing sales and healthy financials are likely to be winners over the long run. Investors can also use the ratio to assess stock valuations and consider buying on the dip when share prices drop. Dollar-cost averaging involves building a position in a company over time by purchasing equal dollar amounts of its stock at regular intervals, reducing the impact of short-term stock price moves on returns.

### Challenges of Artificial Intelligence

The challenges facing artificial intelligence are mainly linked to ethical issues. AI poses significant ethical challenges, including the potential for discrimination in systems, privacy concerns, and the impact on employment. There is also a risk that AI could be used for malicious purposes, such as the creation of disinformation or cyberattacks. AI can be classified into three broad categories: specific AI, general AI, and super-intelligent AI. Generative AI is a subcategory of artificial intelligence that focuses on the creation of new content, such as texts, images, music, or videos, based on patterns learned from existing data.

### Alibaba Releases Emotional Intelligence Model To Rival ChatGPT

Alibaba has released a new artificial intelligence model that it says can read emotions, in an apparent bid to outpace OpenAI's latest model. The model, called Tongyi Lab, has been trained on a dataset of text data and can analyze videos, images, and text, supporting 35 languages out of the box.

### Only 6% of Architects Are Using AI Regularly

Only 6% of architects report regularly using AI for their jobs, and only 8% of architecture firms have implemented AI solutions, according to a new report from the American Institute of Architects. The report shows an industry-wide shyness around AI adoption, with many unsure what AI can do for them, and a large percentage—39%—downright uninterested in finding out.

### Praxis AI Pioneers AI-Driven Education with Claude in Amazon Bedrock

Praxis AI is transforming higher education by using Claude to create AI-powered digital twins of professors. These virtual teaching assistants provide personalized, round-the-clock support to students, improving engagement and performance while alleviating the burden on faculty.

### Google’s New AI Model Outperforms DeepSeek-V3, OpenAI’s o3-mini

Google has announced the next iteration in the Gemma family of open-weight models, which is a successor to the model released last year. The small model comes in a range of parameter sizes – 1B, 4B, 12B and 27B. The model also supports a longer context window of 128K tokens and can analyze videos, images, and text, supporting 35 languages out of the box.

### Behind the Testing of Meta’s First AI Training Chip

Meta has begun testing its first in-house chip designed for training AI systems, according to two sources who spoke to Reuters. The company has initiated a small-scale deployment of the chip and intends to increase production for widespread use if the test proves successful.

### AI and Education - The Art of the Possible Begins with Using AI Agents to Get Students on the Best Courses, Says College Possible’s Savi Kumari

College Possible is using AI agents to help students choose the best courses and provide personalized advice. The initial results of this in practice are highly promising, with coaches able to provide answers to student inquiries in just two to three minutes, down from 35 minutes previously.

### Chinese AI Team Wins Global Award for Replacing Nvidia GPU with Industrial Chip

A Chinese AI team has won a global award for training a video-generation model on an off-the-shelf industrial chip, outperforming high-end GPUs in speed and efficiency. The innovation earned top honours at the prestigious FPGA 2025 conference, marking the first time a mainland Chinese team had claimed the event’s Best Paper Award."

### Key Takeaways

  • The AI sector is experiencing a downturn, with stocks like Nvidia, Broadcom, and AMD plummeting in value.
  • Alibaba has released an emotional intelligence model that can read emotions, rivaling OpenAI's ChatGPT.
  • Google has unveiled a new lightweight AI model called Gemma 3, which can run on a single GPU and outperforms other models in human preference evaluations.
  • Meta is testing its first in-house AI training chip, aiming to reduce reliance on external suppliers and optimize AI infrastructure costs.
  • AI is being used to personalize learning and improve student outcomes in the education sector.
  • A Chinese AI team has won a global award for training a video-generation model on an off-the-shelf industrial chip, outperforming high-end GPUs in speed and efficiency.

Sources

Artificial Intelligence AI Sector Nvidia Broadcom AMD Alibaba Emotional Intelligence OpenAI ChatGPT Google Gemma 3 Meta AI Training Chip Education Personalized Learning Student Outcomes Chinese AI Team Industrial Chip Video-Generation Model