Meta scales back custom chip efforts

Block just cut 40% of its workforce in one move, with Jack Dorsey arguing that new intelligence tools and smaller, flatter teams fundamentally change how companies operate—prompting a massive stock surge and igniting debate over whether this is the first true AI-driven headcount reset or simply COVID overhiring getting cleaned up under a new narrative. In the headlines: Google releases Nano Banana 2, Claude signups surge, Meta pulls back on custom chips, and Microsoft previews Copilot Tasks.

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