What’s New in Artificial Intelligence – May 2025

Artificial intelligence continues to dominate the tech landscape in May 2025, driving innovation, reshaping industries, and stirring debate. From delayed AI launches and global restructuring to healthcare breakthroughs and regulatory shifts — here’s what you need to know this month.

🚨 Big Moves in Big Tech

Meta delays launch of 'Behemoth'

Meta has postponed the release of its highly anticipated language model, Behemoth, originally planned for April. According to insiders, performance improvements didn’t meet expectations, and training complications slowed progress. The new release window is now projected for later this year — sparking concerns internally about Meta’s AI direction.

Microsoft restructures around AI

Microsoft announced it will lay off 7,000 employees, approximately 3% of its global workforce, as it shifts further toward AI-first strategies. The reallocation of resources is part of CEO Satya Nadella’s push to reinforce Microsoft's role in the AI arms race.

Nvidia expands R&D in China

In a strategic move, Nvidia is establishing a new AI research center in Shanghai. This comes amid U.S. export restrictions that have impacted its high-end chip sales in China. The new center will focus on adapting technologies to local markets while navigating complex regulatory constraints.

Saudi Arabia launches state-backed AI firm

Saudi Arabia officially launched Humain, a government-backed AI company with ambitions to position the Kingdom as a global hub for AI development. The initiative supports broader national goals to diversify away from oil dependency through high-tech innovation.

🧠 Healthcare AI Heats Up

Tech giants including Amazon, Apple, Google, Microsoft, Nvidia, Salesforce, Oracle, and Palantir are ramping up investments in healthcare AI. Applications range from diagnostics and personalized medicine to automated admin systems — signaling a major acceleration of AI’s role in reshaping healthcare delivery.

🗳️ AI Policy and Regulation

AI in public consultation: UK goes digital

The UK government is rolling out Consult, an AI system designed to analyze public consultation responses. After a successful pilot, the system is expected to save up to £20 million annually by automating analysis and improving decision-making speed.

Copyright transparency under review

The UK House of Lords is reviewing an amendment to the Data Bill that would require AI companies to declare whether they’ve trained their models on copyrighted material. The move is intended to give creators more insight — and potentially leverage — in how their content is used in the AI ecosystem.

🤖 Rise of AI Agents

Meet Manus AI

Chinese startup Monica.im has introduced Manus AI, a powerful new agent capable of reasoning, planning, and executing full end-to-end tasks. Designed to work across healthcare, finance, robotics, manufacturing, and gaming, Manus represents a new step toward truly autonomous generalist agents.

🔍 Industry Outlook

Sequoia: “AI is bigger than anything before”

Venture firm Sequoia Capital believes AI is a bigger opportunity than cloud, mobile, or the internet itself. In a May statement, they highlighted autonomous AI agents as the breakout trend of 2025 — especially in software development and task automation.

From policy to productivity, and research labs to boardrooms, AI is proving that 2025 may be the year it truly changes everything.

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