Rackspace Stock Jumps 12.96% on New Private Cloud Platform Launch

Key Takeaways

• Rackspace stock rose 12.96% after launching a new private cloud platform using VMware Cloud Foundation 9.1.
• Rackspace appointed Chetan Gupta as Chief AI Officer to lead its new AI direction.
• Nvidia, Palantir, and Rackspace partnered to create the Institutional Sovereign Pod for regulated enterprises.
• The new infrastructure combines Nvidia Blackwell chips with Palantir's Foundry and AIP software.
• Rackspace joined the Nvidia Cloud Partner Program to offer private AI cloud solutions.
• Clay raised $115 million in Series D funding, reaching a $7.1 billion valuation.
• Clay now serves over 17,000 customers, including Anthropic and Google.
• King Slide founder Lin Tsung-chi became Taiwan's richest man with a $17.8 billion fortune.
• King Slide controls 80% of the global market for metal drawer slides used in AI server racks.
• India is building a registry to monitor AI agents making UPI payments.
• U.S. Congress proposed audit rules requiring companies to log AI agent actions.
• Goldman Sachs predicts U.S. data center power demand could reach 108 gigawatts by 2030.

Rackspace Stock Rises on New Cloud and AI Leadership

Rackspace Technology stock jumped 12.96 percent after the company launched its new Rackspace Cloud platform. This fully managed private cloud uses Broadcom's VMware Cloud Foundation 9.1 and is currently available in Dallas with plans to expand to Northern Virginia and Chicago. The platform targets regulated industries like banking and healthcare that need strict control over their data and AI workloads. To lead this new direction, Rackspace appointed Chetan Gupta as Chief AI Officer, bringing his experience from Hitachi to the role. Despite the stock price increase, the company still faces financial challenges with negative margins and significant debt.

Nvidia Palantir and Rackspace Create New AI Partnership

Nvidia, Palantir, and Rackspace have formed a powerful partnership to build a new AI infrastructure called the Institutional Sovereign Pod. This system combines Nvidia's Blackwell chips, Palantir's Foundry and AIP software, and Rackspace's managed cloud operations. The solution is designed for regulated companies like banks and hospitals that require strict data control and governance. Rackspace CEO Gajen Kandiah emphasized that this partnership allows organizations to move AI into production while maintaining full accountability. Analysts view this deal as a major catalyst for Rackspace, though some experts still want to see proof of revenue growth before becoming more bullish.

Rackspace Joins Nvidia Program to Offer Private AI Cloud

Rackspace Technology has officially joined the Nvidia Cloud Partner Program to offer a new private cloud solution. The company announced the Institutional Sovereign Pod, which uses Nvidia Blackwell technology and Palantir software to run AI safely for regulated enterprises. Rackspace acts as the operator, ensuring that customers maintain control over their data and models while getting the performance needed for production workloads. This setup allows businesses to deploy AI at scale without losing sovereignty or security. The new infrastructure is specifically built to meet the high standards required by government agencies and financial institutions.

Clay Raises $115 Million to Reach $7.1 Billion Valuation

The sales platform Clay raised $115 million in a Series D funding round led by Wellington Management. This investment brings the company's valuation to $7.1 billion and follows a period of rapid growth. Clay now serves more than 17,000 customers, including major companies like Anthropic and Google. The company is launching a $1 million fund to train new professionals in a role it calls go-to-market engineers. Clay uses AI agents to help sales teams research leads, draft personalized messages, and launch campaigns automatically. Co-founder Amin believes these AI tools will help companies grow faster by acting as a self-learning revenue engine.

King Slide Founder Becomes Taiwan's Richest Man

Lin Tsung-chi, the 85-year-old founder of King Slide, has become Taiwan's richest person with a fortune of roughly $17.8 billion. His company makes the metal drawer slides that hold heavy AI server racks in data centers. Although the product seems simple, King Slide controls about 80% of the global market for these critical components. The company posted a gross margin of 87.4% last quarter, which is higher than Nvidia's. Lin's wealth now surpasses famous tech leaders like Dario Amodei and Sam Altman. His success came after he refused a price cut from a major customer in 2000, which led him to pivot his business toward server racks.

India builds AI registry for UPI payments

India's payments authority is creating a registry to monitor AI agents making transactions on the Unified Payments Interface. This system is part of the National Payments Corporation of India's new Unified Agentic Protocol. The registry will first check AI agents for UPI payments and may later cover cards and other methods. Officials say this move follows similar steps taken by China and major tech companies like Amazon and Google. The goal is to ensure safety as AI agents begin making small, frequent digital purchases without user approval.

Typewise launches Nova to manage AI agents

Typewise has released Nova, a tool that manages customer service AI agents behind the scenes. Nova keeps agent knowledge and instructions up to date while letting customers control what agents can do. The system works with platforms like Intercom, Zendesk, and Shopify to handle emails, chats, and WhatsApp messages. It can resolve about 80 percent of inquiries at companies like HealGreen and Beurer North America. Nova charges based on the number of requests fully resolved by the AI.

Utilities and data center firms gain from AI power boom

Goldman Sachs research predicts U.S. data center power demand could reach 108 gigawatts by 2030. This growth creates opportunities for American Electric Power, which offers a 3 percent dividend yield. Companies like Vertiv also benefit by supplying equipment to control heat in data centers. Both sectors are expected to see strong growth as the AI industry expands its infrastructure needs.

Apple adds AI features but hardware competition unclear

Apple has introduced new AI features to make its Siri assistant smarter and more capable. Bob O'Donnell of TECHnalysis Research notes this is a major step for the company. However, it is not clear if Apple will compete directly with other AI companies in the hardware market. The new tools focus on improving user experience rather than changing the hardware landscape.

Congress proposes audit rules for AI agents

U.S. representatives introduced a bill to require audit trails for AI agents used by companies. The proposal would ask the National Institute of Standards and Technology to create security standards within one year. These rules would require companies to keep detailed logs of what AI agents do and maintain an inventory of all agents in their systems. The goal is to help security teams track actions and investigate issues if an agent behaves unexpectedly. This framework applies to federal agencies and private companies using autonomous AI in sensitive workflows.

Sources

• RXT Stock Pops As Rackspace Cloud And AI Push Gain Traction
• Nvidia, Palantir and Rackspace Just Built an AI Trifecta — Here's the Trade
• NVIDIA's AI technology and Palantir software come together in a Rackspace-operated private cloud
• Clay hits $7.1B valuation with $115M raise as it sees AI agents running future of sales
• Lin Tsung-chi Of King Slide, Which Makes Drawer Slides For AI Datacenters, Is Now Taiwan’s Richest Man
• India plans AI registry as it looks to roll out agentic payments, sources say
• Typewise orchestrates customer-service AI agents
• Want to Make a Fortune From the AI Power Boom? Buy These 2 Industrial Stocks
• Apple dips its toe into AI, but will AI companies compete in hardware?
• Congress Pushes AI Agents Into the Audit Trail