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Ethosphere raises $2.5M to support retail associates with AI insights

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Seattle-based startup Ethosphere, a voice-enabled artificial intelligence platform for retail operations, said today it raised $2.5 million in pre-seed funding to bring the power of large language models to brick and mortar store floors to help sales associates deliver exceptional in-person service.

Point72 Ventures led the round, with participation from AI2 Incubator, Carya Ventures, Pack VC, Hike Ventures and J4 Ventures.

Founded in 2024, the company has built a platform that helps retailers that use data from front-line interactions with customers to generate coaching insights for associates. It comes in the form of guidance through the use of large language models and voice AI.

“AI is bringing change to every industry, and retail is no exception, but there is a significant gap in how the technology can be applied in a useful, human-focused manner,” said Evan Smith, cofounder and chief executive of Ethosphere.

Smith stated that the company takes a human-centric approach to improve the purchasing experience for customers, as this positively affects retailers’ bottom lines. When customers have a more enjoyable experience in-store due to effective salespeople, they are more likely to return or spend more at that establishment.

The same is true for employee morale. Service workers can often feel unseen by management for their accomplishments and hard work. Much of the modern retail landscape has become driven by outcomes that can be tracked and put in a ledger rather than the day-to-day experiences and context of work on the sales floor. This can become a black spiral for frontline workers who are guided to chase results instead of feeling empowered to engage with customers.

The company’s platform uses wearable microphones to record interactions between customers and associates. These recordings are processed using a set of large language models that transcribe the audio to gain insights into how salespeople are learning and developing their customer-facing skills on the job. The platform then offers specific, individualized feedback and coaching to help them improve their performance on the sales floor.

The platform’s guidance consists of praise, data insights and suggestions for improvement.

Ethosphere said the messaging provided can be tailored to the specific brand voice of the business, including adhering to jargon and company culture.

Management has access to a dashboard that allows them to see both the areas where their team excels and the challenges they need to address. The platform also provides recommendations on next steps to help managers determine the best way to support associates in their work. This includes assisting them by reducing bias in how they view their team, celebrating high-performers and addressing team building.

“In an increasingly busy landscape flooded with theoretical AI, Ethosphere stood out to us with a practical, powerful application that we believe has the potential to directly impact the sales and customer experience,” said Sri Chandrasekar, managing partner at Point72 Ventures.

The company said it would use the funds to scale up program pilots with major retailers to assist them with enhancing support for frontline employees.

Image: Pixabay

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AI Leapfrogs, Not Incremental Upgrades, Are New Back-Office Approach – PYMNTS.com

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AI Leapfrogs, Not Incremental Upgrades, Are New Back-Office Approach  PYMNTS.com



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AI could boost UK economy by 10% in five years, says Microsoft boss

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Microsoft says its new $30bn (£22bn) investment in the UK’s AI sector – its largest outside of the US – should significantly boost Britain’s economy in the next few years.

Its package forms a major part of a $31billion agreement made between the UK government and various other US tech giants, including Nvidia and Google, to invest in British-based infrastructure to support AI technology, largely in the form of data centres.

Microsoft will also now be involved in the creation of a powerful new supercomputer in Loughton, Essex.

Speaking exclusively to the BBC Microsoft CEO Satya Nadella told the BBC of the tech’s potential impact on economic growth.”

“It may happen faster, so our hope is not ten years but maybe five”.

“Whenever anyone gets excited about AI, I want to see it ultimately in the economic growth and the GDP growth.”

Prime Minister Sir Keir Starmer said the US-UK deal marked “a generational step change in our relationship with the US”.

He added that the agreement was “creating highly skilled jobs, putting more money in people’s pockets and ensuring this partnership benefits every corner of the United Kingdom.”

The UK economy has remained stubbornly sluggish in recent months.

Nadella compared the economic benefits of the meteoric rise of AI with the impact of the personal computer when it became common in the workplace, about ten years after it first started scaling in the 1990s.

But there are also growing mutterings that AI is a very lucrative bubble that is about to burst. Nadella conceded that “all tech things are about booms and busts and bubbles” and warned that AI should not be over-hyped or under-hyped but also said the newborn tech would still bring about new products, new systems and new infrastructure.

He acknowledged that its energy consumption remains “very high” but argued that its potential benefits, especially in the fields of healthcare, public services, and business productivity, were worthwhile. He added that investing in data centres was “effectively” also investing in modernising the power grid but did not say that money would be shared directly with the UK’s power supplier, the National Grid.

The campaign group Foxglove has warned that the UK could end up “footing the bill for the colossal amounts of power the giants need”.

The supercomputer, to be built in Loughton, Essex, was already announced by the government in January, but Microsoft has now come on board to the project.

Mr Nadella, revealed the investment as Donald Trump has arrived in the UK on a three-day state visit



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Cyber A.I. Group Appoints Alex Epshteyn as Chief Innovation Officer

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Cyber A.I. Group, Inc., an emerging growth Cybersecurity, Artificial Intelligence and IT services company engaged in the development of next-generation market disruptive AI-driven Cybersecurity technology, announced today the appointment of Alex Epshteyn as Chief Innovation Officer.

Mr. Epshteyn brings over 28 years of executive leadership and advanced technical expertise in AI, complex systems integration, real-time data visualization and large-scale infrastructure projects. In his new role, he will lead CyberAI’s innovation initiatives, overseeing product strategy, research and development and the continued evolution of CyberAI’s expanding patent portfolio including Sentinel 2.0—the Company’s patent-pending AI-powered Cybersecurity subscription platform.

Working in collaboration with Dr. Peter J. Morales, CyberAI’s Chief Technology Officer / Chief Operating Officer, Mr. Epshteyn will drive efforts to align advanced innovation with enterprise needs and global market expansion. His appointment underscores CyberAI’s commitment to industry leadership, product excellence and the delivery of intelligent Cybersecurity solutions tailored for middle-market companies worldwide.

“Alex is a world-class innovator with an extraordinary ability to design, architect and commercialize cutting-edge technologies,” said A.J. Cervantes, Jr., Executive Chairman at CyberAI. “His deep experience spanning AI and mission-critical infrastructure will play a pivotal role as CyberAI accelerates the launch of our CyberAI Sentinel 2.0 platform and we position the Company for rapid growth and scale.”

Mr. Epshteyn previously served as CEO and CTO of Zignage, a premier real-time data visualization and digital signage company powering clients such as the New York Stock Exchange, Mizuho Bank, BMO and Morgan Stanley. He also founded Ngaged Software, an AI-powered education technology startup whose platform, BriteClass, was deployed at Harvard, MIT, Brandeis and NYU, among other colleges and universities. Earlier in his career, he held senior roles at Hewlett Packard Consulting, SIAC, Arup Consulting and Adler Group, contributing to initiatives that spanned trading systems for the NYSE, national emergency response infrastructure and major transportation hubs including JFK and Penn Station.

“Cyber A.I. Group represents the future of intelligent Cybersecurity and I am honored to join its exceptional leadership team at such a transformative time,” said Mr. Epshteyn. “The opportunity to pioneer AI-driven innovation while delivering secure, scalable and adaptive solutions through CyberAI Sentinel 2.0 is one I greatly look forward to. Together, we can help enterprises navigate an increasingly complex digital threat landscape with confidence and resilience.”

Mr. Epshteyn holds a B.A. with honors in Cognitive Science and Computational Linguistics from Columbia University and completed graduate work at NYU’s Media Lab at the Tandon School of Engineering. He has developed custom software and data analysis tools, while also volunteering at NYU Tandon to mentor undergraduate engineering students.   Through his appointment as Chief Innovation Officer, CyberAI strengthens its commitment to delivering next-generation, AI-powered Cybersecurity solutions to a global marketplace.

About Cyber A.I. Group, Inc.

Cyber A.I. Group, Inc. (“CyberAI”) is a next-generation technology company pioneering the development of advanced proprietary platforms at the intersection of Artificial Intelligence and Cybersecurity. With a mission to redefine how organizations protect, predict and respond to digital threats, CyberAI is positioning patent pending technologies that enable autonomous threat detection, adaptive risk mitigation and intelligent system resilience across enterprise and cloud environments as a low-cost alternative for small and medium-sized businesses. At the core of CyberAI’s innovation is a team of world-class technologists, data scientists and Cybersecurity experts dedicated to creating breakthrough solutions that are scalable, secure and globally deployable. The Company’s technologies are designed to address the most urgent and complex challenges facing today’s digital infrastructure, from AI-driven security orchestration to autonomous anomaly detection and predictive analytics for critical systems. CyberAI’s commitment to continuous innovation and deep IP development is positioning it at the critical intersection of AI and the global Cybersecurity landscape. By fusing Artificial Intelligence with real-world cyber defense expertise, the Company aims to set new standards for intelligent infrastructure protection and digital trust. For more information, please visit: cyberaigroup.io



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