Nokia AI Sales Surge, Netskope's AI Margin Up 11 Points

Key Takeaways

• Nokia's AI and Cloud sales more than doubled in the second quarter, with 2.8 billion euro in AI orders expected to convert to revenue within the next year.
• Netskope launched a DataSec Command Center, improving its operating margin by 11 percentage points year over year despite a 9 percent revenue growth slowdown.
• Zscaler reported a 25 percent revenue increase to $3.35 billion, but organic growth slowed without acquisitions as it shifts to usage-based models.
• AI safety warnings from Anthropic, OpenAI, and Elon Musk caused Nvidia to drop more than 2 percent and significant losses for Meta and Amazon.
• ASML shares fell 5.2 percent as investors reassessed AI capital spending needs following warnings from AI executives about model development pace.
• SanDisk Corporation shares dropped 5.5 percent to $1,543 due to fears that AI technology might eventually replace the need for human memory storage.
• Cobalt AI will demonstrate a Monitoring Intelligence platform at GSX 2026 that reduces unwanted alarm noise by 90 percent while maintaining human oversight.
• Hyundai Motor Group is recruiting 500 young people for its HINT cohort training program in mobility AI and manufacturing intelligence across seven cities.
• Texas State Technical College is integrating Intuit QuickBooks AI assistant into accounting courses while emphasizing that core accounting concepts remain unchanged.
• ServiceNow's AI business grew from $100 million in 2020 to $300 million in 2022, with projections to reach $900 million by 2029.

Nokia AI Sales Double But Mobile Profit Still Leads

Nokia reported strong growth in its AI and Cloud sales, which more than doubled in the second quarter. However, the Mobile Infrastructure segment still generated nearly twice the profit of the Network Infrastructure segment. The company expects to convert about half of its 2.8 billion euro AI orders into revenue within the next year. Despite this growth, Nokia faces challenges from restructuring costs and supply constraints that affect its cash flow.

Netskope AI Security Growth Slows Amid Billing Changes

Netskope saw its AI security suite gain early traction, with about one-third of its pipeline in the proof-of-concept phase. The company launched a new DataSec Command Center to protect data across AI environments and cloud systems. While revenue growth slowed to 9 percent, the firm improved its operating margin by 11 percentage points year over year. Netskope is currently transitioning customers to annual billing, which is causing temporary drops in free cash flow.

Zscaler Stock Drops as Organic Growth Slows

Zscaler reported a 25 percent increase in revenue to 3.35 billion dollars, but its organic growth rate slowed significantly without acquisitions. The company is shifting from per-user licensing to usage-based models, with 30 percent of new contracts now based on usage. Although non-GAAP margins hit a record 24 percent, the firm remains unprofitable on a GAAP basis with a net loss of 63.2 million dollars. Investors are watching closely to see if this strategic shift will sustain long-term growth.

AI Safety Warnings Cause Tech Stock Market Drop

Tech stocks fell sharply after AI leaders called for slowing down the development of powerful models due to safety concerns. Executives from Anthropic, OpenAI, and Elon Musk supported the call, raising fears about potential risks in the industry. Nvidia dropped more than 2 percent in premarket trading, while Meta and Amazon also saw significant losses. This reaction shows how closely investor valuations are tied to expectations of rapid AI expansion.

ASML Shares Fall as AI Safety Concerns Spread

European technology stocks dropped heavily after warnings from AI executives about the pace of model development. ASML lost 5.2 percent as investors reassessed the speed of AI capital spending needed for computing infrastructure. The European Commission now has enforcement powers under the AI Act to regulate advanced models that pose systemic risks. This regulatory shift adds complexity to the investment thesis for companies building the hardware required for AI.

Cobalt AI shows new security judgment tool at GSX 2026

Cobalt AI will demonstrate its new Monitoring Intelligence platform at the GSX 2026 conference in San Francisco. This tool compares camera footage, access control records, and company policies to judge security threats in real time. The system reduces unwanted alarm noise by 90 percent while keeping human operators in charge of critical decisions. A Fortune 100 customer reported a 95 percent drop in alarm volume and a 30-second average response time using this technology.

Hyundai recruits 500 youth for mobility AI training program

Hyundai Motor Group is recruiting 500 unemployed young people for its second HINT cohort training program. The initiative targets individuals aged 15 to 34 and offers tracks in mobility AI and manufacturing intelligence. About 90 percent of the training will take place outside the Seoul metropolitan area in seven cities nationwide. The program includes a three-day residential session followed by three months of hands-on learning at regional centers.

SanDisk stock drops 5.5 percent due to AI demand fears

SanDisk Corporation shares fell 5.5 percent in pre-market trading to reach $1,543 on Monday. Investors are worried that artificial intelligence technology might eventually replace the need for human memory storage. This decline mirrors similar drops in other memory chip manufacturers like Micron Technology and Western Digital. Analysts suggest that while AI has driven recent demand, long-term concerns about the memory market are causing caution.

TSTC adds AI tools to accounting classes without replacing basics

Texas State Technical College is integrating artificial intelligence into its online Business Management accounting courses. Students will use an educational version of Intuit QuickBooks AI assistant to learn efficiency skills while mastering traditional accounting rules. Instructor Edna Claus emphasizes that core accounting concepts have remained the same for 3,000 years and will not change. The school plans to launch AI-driven tutoring in the Payroll and Business Tax Accounting class by fall 2027.

OpenMatter launches secure AI tools and privacy features

OpenMatter Network has added new tools to its platform for secure application development and AI model management. The update includes MatterSDK, which uses threshold cryptography to protect secrets, and Model Router for managing access to multiple AI providers. The company also released MatterML V2, a privacy-preserving system that allows organizations to train models on combined data without sharing raw information. CEO Renee Davis stated these additions reflect a flexible verification architecture designed to grow with changing AI needs.

ICE launches STELLA AI platform for secure testing

Immigration and Customs Enforcement is building a new AI tool called STELLA to help develop and test new projects safely. The Secure Technology Environment for Large Language Agents will run inside a secure FedRAMP ICE Cloud environment. Developers will use this platform to experiment with retrieval-augmented generation while following strict security rules. ICE plans to release the system this summer, but the exact timeline is still being decided. This new tool is part of more than 40 AI projects the agency is currently working on for investigations and data analysis.

ServiceNow AI revenue triples from 2020 to 2022

ServiceNow saw its AI business grow from $100 million in 2020 to $300 million in 2022. The company expects this sector to reach $900 million by 2029, which would be a 300% increase from the 2020 level. This fast growth comes from buying AI startups like BrightBytes and Element AI and investing heavily in research. The new services help businesses automate tasks and make their operations more efficient. AI has become a major reason for the company's recent success and higher profits.

NVIDIA Inception offers free global startup support

NVIDIA launched a free global program called Inception to help new AI companies grow faster. Startups can join the program to get cloud credits, training sessions, and access to potential investors. The goal is to help these innovative teams build their products and reach the market sooner. This initiative is open to AI startups around the world looking for resources to accelerate their development. By joining, companies gain the tools and connections needed to succeed in the competitive AI industry.

Sources

• Nokia’s AI Sales Doubled; Mobile Still Produces Nearly Twice the Segment Profit
• Netskope’s (NTSK) AI Security Push Is Already Paying Off
• Is Zscaler (ZS)’s Depressed Stock Opportunity Or Warning? Answer May Lie in Emerging AI Security Business
• AI Safety Warnings Rattle Tech Stocks as Investors Reassess the AI Boom
• AI safety warnings hit ASML as Europe’s exposure to AI investment boom comes into focus
• Cobalt AI to Demonstrate AI Security Judgment and Real Time Alarm Resolution at GSX 2026
• “Mobility AI Training for 500 Young People”...Hyundai Motor Group Recruits Second HINT Cohort
• SanDisk Shares Fall 5.5% as AI Demand Concerns Weigh on Memory Stocks
• TSTC’s online Business Management program incorporating AI into some of its accounting classes
• OpenMatter adds secure AI & data tools to platform
• ICE plans AI assistant to have role in use case development, document shows
• Prediction: ServiceNow's AI Business Triples Before 2029
• NVIDIA Inception 2026: Free Global AI Startup Program with Cloud Credits, Training & Investor Access