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OpenAI Is Getting Into the Movie Business With ‘Critterz’

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OpenAI, the people who brought you ChatGPT, are teaming up with the writers of Paddington 3 to make a movie about a bunch of forest animals that go on an adventure or something called Critterz.

As reported by The Wall Street Journal, what sets it apart from the rest of the CG animated pack is that Critterz is being made in just nine months on a budget of under $30 million. That’s chump change by industry standards, where animated features usually take years and cost a fortune.

Studios are usually willing to remain patient and cough up the money since animated children’s films are a lucrative business. If Critterz is even a modest success, and people aren’t immediately turned off by the inherent uncanny valley-ness of AI-created imagery, then it could usher in a new era of AI-generated animated film.

The movie, set for a global theatrical release in 2026 after a Cannes Film Festival debut, is being produced by London-based Vertigo Films, Los Angeles-based Native Foreign, and creative director Chad Nelson, a former animator who started the project using OpenAI’s DALL·E tool years ago. He’s now leading a hybrid production model: human-drawn sketches and voice talent are fed into OpenAI’s models like GPT-5 to help stitch the whole thing together. You can watch the original five-minute short film that started it all here.

OpenAI, eager to demonstrate that its collection of ones and zeros can replace every human on Earth, along with all their perspective and experiences gathered over a lifetime, that are then channeled into a single project that means the world to them, is putting its money where its mouth is. Why just talk about what AI could do when you can drop a full-length movie essentially made by no one?

Studios like Disney and Netflix have cautiously dipped their toes into AI for marketing and production support, but no one’s yet fully dived in on a feature like this.

Back in early August, the Wall Street Journal reported that Disney’s behind-the-scenes experiments with AI filmmaking have bordered on disastrous, thanks to a combination of legal concerns over the source of the AI’s inspiration and concerns that its use of AI may scare off the writers, actors, and animators Disney would still need to rely on to some degree in its many other animated and live action projects.

Disney was somehow surprised to discover that implementing a technology that could replace people’s jobs made people not want to work with them. What a shock.

While $30 million for a children’s animated film isn’t all that much, it’s still a gamble for OpenAI. The film has no distribution deal yet, and audiences aren’t exactly sprinting back to theaters for original IP nowadays, let alone one made by AI, which tends to create characters that look like they’re going to break the fourth wall and tell you, specifically, that they’re going to kill you.

But if Critterz somehow manages to get over all that and become a hit, it seems like a bit of an understatement to say that everything will change, but that’s exactly what’s going to happen. A quick and violent shift to an industry with fewer people, and therefore less of their perspective, their artistry. An industry that won’t just be lacking people, it’ll be lacking humanity.





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Could AI nursing robots help healthcare staffing shortages?

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Around the world, health care workers are in short supply, with a shortage of 4.5 million nurses expected by 2030, according to the World Health Organization (WHO).

Nurses are already feeling the pressure: around one-third of nurses globally are experiencing burnout symptoms, like emotional exhaustion, and the profession has a high turnover rate.

That’s where Nurabot comes in. The autonomous, AI-powered nursing robot is designed to help nurses with repetitive or physically demanding tasks, such as delivering medication or guiding patients around the ward.

According to Foxconn, the Taiwanese multinational behind Nurabot, the humanoid can reduce nurses’ workload by up to 30%.

“This is not a replacement of nurses, but more like accomplishing a mission together,” says Alice Lin, director of user design at Foxconn, also known as Hon Hai Technology Group in Taiwan.

By taking on repetitive tasks, Nurabot frees up nurses for “tasks that really need them, such as taking care of the patients and making judgment calls on the patient’s conditions, based on their professional experience,” Lin told CNN in a video call.

Nurabot, which took just 10 months to develop, has been undergoing testing at a hospital in Taiwan since April 2025 — and now, the company is readying the robot for commercial launch early next year. Foxconn does not currently have an estimate for its retail price.

Foxconn partnered with Japanese robotics company Kawasaki Heavy Industries to build Nurabot’s hardware.

The firm adapted Kawasaki’s “Nyokkey” service robot model, which moves around autonomously on wheels, uses its two robotic arms to lift and hold items, and has multiple cameras and sensors to help it recognize its surroundings.

Based on its initial research on nurses’ daily routines and pain points — such as walking long distances across the ward to deliver samples — Foxconn added features, like a space to safely store bottles and vials.

The robot uses Foxconn’s Chinese large language model for its communication, while US tech giant NVIDIA provided Nurabot’s core AI and robotics infrastructure. NVIDIA says it combined multiple proprietary AI platforms to create Nurabot’s programming, which enables the bot to navigate the hospital independently, schedule tasks, and react to verbal and physical cues.

AI was also used to train and test the robot in a virtual version of the hospital, which Foxconn says helped its speedy development.

AI allows Nurabot to “perceive, reason, and act in a more human-like way” and adapt its behavior “based on the specific patient, context, and situation,” David Niewolny, director of business development for health care and medical at NVIDIA, told CNN in an email.

Staffing shortages aren’t the only issue facing the health care sector.

The world’s elderly population is growing rapidly: the number of people aged 60 and over is expected to increase by 40% by 2030, compared to 2019, according to the WHO. By the mid-2030s, the UN predicts that the number of individuals aged 80 and older will outnumber infants.

Over the past decade, the number of health care workers has steadily increased, but not fast enough to beat population growth and aging. Southeast Asia is expected to be one of the worst-impacted regions for health care workforce shortages.

With these impending stressors on the health care system, AI-enhanced systems can provide huge time and cost savings, says nursing and public health professor Rick Kwan, associate dean at Tung Wah College in Hong Kong.

“AI-assisted robots can really replace some repetitive work, and save lots of manpower,” says Kwan.

Foxconn plans to commercially launch Nurabot in 2026.

There will be challenges, though: Kwan highlights patient preference for human interaction and the need for infrastructure changes in hospitals.

“You can look at the hospitals in Hong Kong: very crowded and everywhere is very narrow, so it doesn’t really allow robots to travel around,” says Kwan. Hospitals are designed around human needs and systems, and if robots are to become central to the workflow, this will need to be reimagined in hospital design going forward, he adds.

Safety is also paramount, says Kwan — not just in terms of mitigating physical risks, but the development of ethical and data protection protocols, too — and he encourages a slow and cautious approach that allows for rigorous testing and assessment.

Robots are not entirely new to health care: surgical robots, like da Vinci, have been around for decades and help improve accuracy during operations.

But increasingly, free-moving humanoids are assisting hospital staff and patients.

In Singapore, Changi General Hospital currently has more than 80 robots helping doctors and nurses with everything from administrative work to medicine delivery.

Robots are revolutionizing the healthcare industry with increased precision and diagnostics power. Changi General Hospital, pictured, employs more than 50 robots to help care for patients. <strong>Scroll through to see more innovative robots reinventing healthcare.</strong>

And in the US, nearly 100 “Moxi” autonomous health care bots, built by Texas-based Diligent Robots with NVIDIA’s AI platforms, carry medications, samples, and supplies across hospital wards, according to NVIDIA.

But the jury is still out on how helpful nursing robots are to staff. A recent review of robots in nursing found that, while there was a perception among nurses of increased efficiency and reduced workload, there is a lack of experiential evidence to confirm this — and technical malfunctions, communication difficulties and the need for ongoing training all presented challenges.

Tech companies are investing heavily health care: in addition to NVIDIA, the likes of Amazon and Google are both exploring new opportunities in the $9.8 trillion health care market.

The smart hospital sector is a small, but rapidly expanding, component of this. It was estimated at $72.24 billion in 2025, according to market research company Mordor Intelligence, with the Asia Pacific region the fastest-growing market.

Nurabot is currently being piloted in Taichung Veterans General Hospital in Taiwan, on a ward that treats diseases associated with the lungs, face and neck, including lung cancer and asthma.

During this experimental phase, the robot has limited access to the hospital’s data system, and Foxconn is “stress testing” its functionality on the ward. This includes tracking metrics like the reduction in walking distance for nurses and the delivery accuracy, as well as qualitative feedback from patients and nurses. Early results indicate that Nurabot is reducing the daily nursing workload by around 20–30%, according to Foxconn.

Taichung Veterans General Hospital declined to comment on Nurabot for this story.

According to Lin, Nurabot will be formally integrated into daily nursing operations later this year, including connecting to the hospital information system and running tasks autonomously, ahead of its commercial debut in early 2026.

While Nurabot won’t solve the lack of nurses, Lin says it can help “alleviate the problems caused by an aging society, and hospitals losing talent.”





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FTC Inquiry into AI Chatbot Companions: What It Means for Business Owners

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What’s Happening

The U.S. Federal Trade Commission (FTC) has launched a formal inquiry into companies that build AI “chatbot companions,” including major players like Meta, OpenAI, Alphabet (Google), Snap, xAI, Character.AI, and Instagram.

The focus is on how these companies measure potential harms, test and monitor safety, especially for minors and teens; how they monetize user engagement; the safeguards in place; and how transparent they are with users (and parents) about risks.

Why It Matters for Business Owners

If you run or are considering running a business in or near the AI / chatbot / digital companions space, or even if you use chatbots in customer service, this inquiry could have ripple effects. Below are areas of impact, risks, and opportunities.

Potential Risks

1. Regulatory Compliance Costs Increase

Companies may need to invest more in safety, monitoring, auditing, reporting systems, especially those affecting minors. If your business deals with chatbots, you may need legal advice, safety engineering, privacy consulting. These can add up.

2. Stricter Legal Liability

If a chatbot with insufficient safeguards causes harm (e.g. gives bad advice, misleads, causes emotional distress), the business could face lawsuits, regulatory penalties, or demands for recalls or modifications.

3. Transparency & Parental Controls Requirements

The FTC is demanding disclosures about how chatbots work, data collection, monetization, etc. Businesses will likely need to inform users—and parents if children are involved—more clearly. Not doing so could be seen as deceptive or unfair practice.

4. Limitations on Monetization Models

Features that drive engagement through addictive-like loops, reward mechanics, or which exploit emotional connection might come under scrutiny. Business models that rely heavily on capturing attention via “companionship” features may need to be retooled.

5. Potential State-Level Regulation

Not just federal; there’s already a California bill (SB 243) moving through that seeks to regulate AI companion chatbots (definitions, safety, reporting, liability). If state laws differ, compliance could get complex, especially if operating in multiple states.

6. Reputational Risks

If your AI/chatbot product is involved in negative news (misinformation, emotional harm, misuse), that could damage brand, trust, and sales. Consumers are increasingly sensitive about ethical and safe AI.

Opportunities & Advantages

1. Competitive Edge for Responsible Providers

Businesses that proactively build in safety, transparency, parental controls, and ethical design will likely win trust. If regulation is coming, being ahead means lower friction later.

2. New Value-Added Features

Products that clearly document how they protect users, especially minors; provide opt-in/opt-out or adjustable safety settings; or use tools to detect distress/emotional risk might appeal more to consumers or business clients.

3. Partnerships & Certifications

There may emerge third-party certifications or audits for AI safety. Businesses could offer “compliant chatbot” status as a marketing point.

4. Tailoring Services for Specific Demographics

Given the scrutiny of minors and young users, there’s opportunity in designing chatbots for adult use, or specialized chatbots with heightened safeguards for children (education, health, wellness etc.), which might become a regulated niche.

5. Product Innovation around Safety Tools

There is likely to be demand for technologies that help with moderation, detection of harmful content, managing interactions, logging, and analytics around user emotional state. Businesses developing those tools could see growth.

What Business Owners Should Be Doing Now

Audit Existing Chatbot / AI Use: If you already use conversational AI (customer service, chat companions, virtual assistants), evaluate how safe and responsible the design is. Are there loopholes that could be abused?

Document Safety Protocols: Start or update policies: how chatbots are trained, monitored, how they respond (especially to sensitive topics), what safety escalations exist, and how user data is handled.

Be Transparent: Make your terms, privacy policies, and user disclosures clear—especially if minors may use the service. Ensure that what you advertise matches how your system behaves.

Plan for Data Handling & Privacy: What user inputs do you collect? What do you do with them? How are they stored, shared, monetized? Regulations like COPPA (for kids), FTC’s standards, state laws all matter.

Monitor Regulatory Landscape: Federal inquiries often lead to new rules or laws. State laws like California SB 243 are moving fast. Being aware means you can adapt early.

Insurance and Legal Advice: Talk with legal counsel about risk mitigation, possibly insurance for AI-related risks.

Broader Implications

Increased Oversight is Coming: What the FTC is doing now is an information request (under its Section 6(b) authority) to gather data. But this often leads to reports, recommendations, and possibly regulations or legal actions. Businesses in AI must expect more oversight soon.

Consumer Expectations Shift: As media and regulators highlight stories of harm (teen suicides allegedly linked to chatbot advice, etc.), consumers will expect safer, more ethical technology. Brands ignoring this may pay a reputational price.

Cost of Non-Compliance Might Rise Sharply: If regulations mandate certain safety features, or impose fines or damages, businesses slow to adapt may suffer financial consequences.

Example Scenarios

A startup building an AI companion app for teens will probably need to build in parental insight tools, define age-targeted conversation limits, monitor for self-harm or suicidal ideation, and have protocols for escalation.

A business deploying chatbots for customer service could be impacted if the bot interacts with younger audience members (either directly or indirectly)—it may need to add disclaimers or restrict certain topics.

A company monetizing via in-chat purchases, emotional engagement loops, or advertising via bots may have to rework monetization models to avoid regulatory risks.

So what’s happening

The FTC’s inquiry isn’t just about Meta, OpenAI, or large tech giants—it signals a shifting regulatory and societal expectation around AI that business owners cannot ignore. Whether you are building AI products, using chatbots for operations, or even just planning future investments, the message is: safety, transparency, and user wellbeing are rapidly becoming not just ethical concerns, but business imperatives.

Fire busywork, not people. Discover AI employees that work 24/7 without breaks at Ai.fireyouremployees.com.”

 

 



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Alibaba’s Shares Soar After Investors Buy Into Big AI Moves

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(Bloomberg) — Alibaba Group Holding Ltd.’s stock gained the most in about two weeks after the company initiated a series of moves intended to shore up its place in China’s AI development boom.

The e-commerce leader’s shares climbed more than 7% in early Hong Kong trading, tracking an overnight gain in the US. That takes the Chinese company’s gain to over 80% this year, a rally driven by aggressive moves to expand into the fledgling field of artificial intelligence.

Alibaba this week raised $3.2 billion in convertible bonds to bankroll the country’s biggest AI infrastructure budget and cloud service. It unveiled updates to flagship Qwen-series models designed to compete with DeepSeek and OpenAI. And The Information reported that Alibaba and Baidu Inc. are starting to employ in-house chips in the training of artificial intelligence, replacing costly Nvidia Corp. accelerators. Baidu’s stock rose close to 13% in Hong Kong to its highest since October 2024.

Alibaba is staging a comeback after years of regulatory scrutiny hammered its internet business. The firm co-founded by Jack Ma has established itself this year among the frontrunners of a nationwide AI frenzy. It’s since declared itself wholly in pursuit of artificial general intelligence — the holy grail for many tech companies.

Its recent moves coincide with growing optimism about the outlook for a technology expected to revolutionize industry and economies. This week, Oracle Corp. helped ignite a sectoral rally after delivering a blowout outlook for global AI spending.

“Alibaba’s recent moves have shifted investors’ focus completely to its AI potential, offsetting the concerns about its price wars in food delivery,” said Paul Pong, a managing director at Pegasus Fund Managers. “With the capability of producing its own chips, it should create more growth drivers.”

The stock gains come even as Alibaba wages war with deep-pocketed rivals on another front. 

This week, the company declared it was sinking more money into incentives and subsidies to power its local services and e-commerce business. It’s committing another 1 billion yuan ($140 million) of incentives to drive more traffic to one of its most popular online services, cranking up the heat on JD.com Inc. and Meituan in their ongoing battle for Chinese consumers.

Some analysts regard that as a positive given it’s competing hard for users to drive its core business. But others point to margin erosion at a time AI’s monetization potential remains elusive.

What Bloomberg Intelligence Says

Alibaba’s latest AI model releases, including the more efficient Qwen3-Next and 1-trillion-parameter Qwen-3-Max-Preview, should support demand for its cloud services. However, returns from the segment are set to remain poor, given low margins and disproportionately high capital costs. Quarterly adjusted Ebita in the cloud intelligence division rose by just $86 million in the 12 months ended June 2025. Tencent remains better placed to generate a near-term return on AI, in our opinion.

– Robert Lea and Jasmine Lyu, analysts

Click here for the research.

(Updates with Baidu’s stock from the third paragraph.)

More stories like this are available on bloomberg.com



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