PLUS: Elon Musk's xAI raises $20B, why your next PC will cost more, and NVIDIA's DLSS 4.5
Good morning
In a major U.S. first, an AI is now autonomously renewing prescriptions for chronic conditions without direct human oversight. A new pilot program in Utah is pushing the boundaries of AI in healthcare, putting the technology to a high-stakes test.
The AI has proven highly accurate and is even backed by a first-of-its-kind malpractice policy. But as it operates in a legal gray area, will this trial set a successful precedent for AI in regulated fields, or highlight the significant hurdles still ahead?
In today’s Next in AI:
AI autonomously prescribes medicine in US pilot
Elon Musk's xAI secures a $20B war chest
Why an 'AI tax' is about to raise PC prices
NVIDIA's new AI gaming and 4K video tools
Your Next Prescription From an AI
Next in AI: In a U.S. first, a pilot program in Utah now allows an AI system from health-tech startup Doctronic to autonomously renew prescriptions for chronic conditions. This high-stakes test pushes the boundaries of AI in healthcare, operating without direct human oversight.
Decoded:
Doctronic's system demonstrated high accuracy in trials, matching physician treatment plans 99.2% of the time across 500 cases, and is backed by a first-of-its-kind malpractice insurance policy that covers the AI itself.
The process works via a web interface where the AI asks clinical questions before sending an approved script to a pharmacy, but the program currently excludes high-risk medications like pain and ADHD drugs.
This pilot operates in a regulatory gray area, testing whether AI prescribing falls under state-level medical practice rules or FDA authority over medical devices, a distinction that will shape its national expansion.
Why It Matters: This initiative could significantly improve access and lower costs for routine care, freeing up doctors for more complex cases. The program's success or failure in Utah will set a critical precedent for AI's role in regulated industries across the country.
xAI's $20B War Chest
Next in AI: Elon Musk's xAI has officially secured $20 billion in new funding, arming the startup with a massive war chest to compete in the increasingly capital-intensive race for AI dominance.
Decoded:
The funding round attracted a blend of strategic partners like Nvidia and Cisco alongside long-time Musk backers including Valor Equity Partners and Fidelity.
This capital injection intensifies the AI race, positioning xAI to better compete with giants like OpenAI, which recently saw a $500 billion valuation.
xAI is already landing major contracts, with the Department of Defense recently adding its Grok model to the government's AI platform.
Why It Matters: This massive funding round confirms that building leading foundational models requires immense capital, further concentrating the field among a few key players. For users and developers, this signals an accelerated timeline for more powerful and integrated AI from yet another major competitor.
The Coming AI Tax
Next in AI: Micron has officially announced its exit from the consumer RAM market to prioritize the massive demand for AI server memory. This strategic pivot will tighten supply and directly increase the cost of your next PC.
Decoded:
The decision is driven by simple economics, as High-Bandwidth Memory (HBM) for AI data centers offers significantly higher profit margins than consumer-grade memory.
Expect PC prices to jump by $25 to $50 starting in March 2026, a cost that will be passed directly to consumers and could eliminate the sub-$200 PC market tier.
This exit leaves only two major suppliers—Samsung and SK Hynix—intensifying competition for a smaller pool of components in a market already facing shortages.
Why It Matters: This "AI tax" is one of the first direct costs of the AI hardware boom being passed down to everyday consumers. If you're planning a PC upgrade, the window to buy at current prices is closing before the end of February.
NVIDIA's AI Upgrades: Faster Gaming & 4K Video on Your PC
Next in AI: At CES 2026, NVIDIA unveiled a suite of AI upgrades headlined by DLSS 4.5 for smoother gaming and new tools that accelerate 4K AI video generation directly on your PC.
Decoded:
The new DLSS 4.5 introduces Dynamic Multi Frame Generation, a technology designed to boost performance and enable 240+ FPS gaming with path tracing on GeForce RTX 50 Series GPUs.
For creators, a new video pipeline powered by ComfyUI optimizations enables generating 4K AI video up to 3x faster while using 60% less VRAM on local RTX PCs.
NVIDIA ACE technology is making in-game characters more autonomous, with experiments in titles like Total War: PHARAOH and PUBG allowing NPCs to act as dynamic AI advisors and teammates that can perceive, plan, and act.
Why It Matters: These advancements signal a major push to move high-end AI processing from the cloud to local machines. This gives you more power, privacy, and real-time control over your gaming experiences and creative workflows.
AI Pulse
HarperCollins announced plans to use AI to translate its Harlequin romance novels in France, sparking backlash from author groups over replacing its human contract translators.
An AI-generated manga topped the young adult sales charts in Japan’s largest ebook store, sparking concern from creators despite receiving poor user reviews for its artwork and writing.
Grok drew intense scrutiny after its image editing feature was used to generate nonconsensual sexualized images of women, including some based on photos from when they were minors.
Razer unveiled Project AVA at CES 2026, a concept for a holographic AI desk companion that can act as a gaming coach, personal assistant, and productivity tool.