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Hi there, this is your daily ☕️ Techpresso.

In today's newsletter:

🇺🇸 US tells allies to pick US or China

💳 Stripe buys AI startup OpenRouter for $7B

📚 Amazon destroys books for AI

🐫 Alibaba's Qwen leads AI model downloads

👀 Stripe is in talks to buy PayPal

🐙 GitHub is down worldwide

Plus: 🎁 15 other news you might like, 🧰 6 tools, and 📚 4 papers.

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🇺🇸 US tells allies to pick US or China LINK
  • The US is set to tell 35 partner countries they must pick between American and Chinese AI systems, according to a draft State Department letter, warning that belonging to both is no longer allowed.
  • The pressure runs through Pax Silica, a US-led effort to secure supply chains for AI models, chips and critical minerals, offering members shared investment deals while threatening to shut out any nation that joins China's rival framework.
  • About two dozen countries have signed on, including Japan, Australia and South Korea, while Kazakhstan sits in both camps because of its critical minerals, and Europe is stuck trying to keep its "strategic autonomy" without picking a side.
💳 Stripe buys AI startup OpenRouter for $7B LINK
  • Stripe has agreed to buy OpenRouter, the company that routes developer requests across more than 400 AI models, for over $7 billion, pushing the payments giant further into the infrastructure behind AI technology.
  • OpenRouter does not build models but acts as middleware, sending each task to the cheapest, fastest, or most reliable option, and its Auto router uses spending data from 8 million developers to steer requests toward affordable choices.
  • The price marks a steep jump from OpenRouter's $1.3 billion valuation in its May 2026 Series B, reflecting weekly activity that climbed from 5 trillion to 25 trillion tokens over six months.
📚 Amazon destroys books for AI LINK
  • An investigation by 404 Media found that Amazon buys printed books in bulk, scans them to train its Nova AI models, and destroys the copies in the process by cutting off their spines.
  • Reporters tracked a shipment of rare books using a hidden AirTag to an Amazon warehouse in Las Vegas, run by a team called VGT3, where workers said they slice off spines to scan books faster.
  • Amazon isn't alone: Anthropic ran a similar effort called "Project Panama," and a judge ruled its scanning was fair use partly because destroying the printed originals meant they weren't copied and resold.
🐫 Alibaba's Qwen leads AI model downloads LINK
  • Alibaba's Qwen family of open-weight AI models has become the most downloaded in the world, drawing more than 3 billion downloads over the past six months and passing rivals including Meta, Google and Chinese competitor DeepSeek.
  • Alibaba said Qwen has released over 460 open-source models, spawning more than 300,000 derivative versions, while Hugging Face data showed Google reached 418 million downloads for the year and Meta 227 million.
  • Because open models can be used to build new AI products, download counts serve as a gauge of developer influence, and Hugging Face said Qwen has become a default choice for developers deciding which models to fine-tune and deploy.
👀 Stripe is in talks to buy PayPal LINK
  • Stripe and private equity firm Advent International are in talks to buy PayPal, after their July offer of $60.50 a share, valuing the payment system at $53 billion, failed to close a deal.
  • Stripe and Advent are now discussing a higher price and could announce a deal within weeks, with each holding an equal stake and no plans to break up PayPal, keeping its parts together.
  • A merger would make Stripe one of the world's biggest payment companies, handling roughly $3.7 trillion a year, and let it fold in Venmo, PayPal's checkout and crypto tools while leaning less on Visa and Mastercard.
🐙 GitHub is down worldwide LINK
  • GitHub is down for users around the world, with a widespread outage on August 17 throwing errors across the website, API, Actions, Pull Requests, Issues, Webhooks, and other services developers depend on.
  • The company's status page shows error rates near 20% for web traffic and the API, while archive downloads and raw repository content are failing at roughly 50%, and authentication tools like SAML, OIDC, and SCIM are also broken.
  • At 14:31 UTC, GitHub said its AI coding tool Copilot had degraded too, though Git Operations, Packages, Pages, and Codespaces stayed working; the company hasn't said what caused the problem and is still investigating.

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Other news & articles you might like

  • AI slop is swamping a House office that drafts US laws LINK
  • Top mathematicians say LLMs are strong calculators but poor creative thinkers LINK
  • Apple will comply with ‘fairer’ App Tracking Transparency rules in the EU LINK
  • OpenAI dissolved the team built to catch catastrophic AI risks, reassigning its work to other groups LINK
  • Anthropic watermarks Claude's output, but critics question the tradeoffs LINK
  • Woman claims her stepfather used Grok to transform childhood photo into explicit imagery LINK
  • Uber adds Zipline drones to its Eats delivery network LINK
  • Google now lets you remove the watermark from Gemini’s creations LINK
  • Elon musk controls 48.4% of SpaceX valued at over $900 billion, New filing reveals LINK
  • Anthropic CEO says AI backlash is ‘fundamentally a crisis of trust’ LINK
  • A Trump-backed crypto firm is helping sell the very Chinese AI his government is trying to block LINK
  • Anthropic sees AI risks rising, no plan to release stronger "Model 2" LINK
  • Binance helped Russia build case against IT specialist over $700 Ukraine donation, Reuters LINK
  • France investigates tax authority breach after hacker claims 600,000 victims LINK
  • Meta faces a $1.4 trillion reckoning in latest trial over social media addiction LINK

🧰 Trending tools

ManageEngine Remote Access Plus: Remote desktop software trusted across 700K+ endpoints and 18M+ sessions worldwide, letting IT teams resolve issues without leaving their desk. Try it free
Blume: turns plain markdown into fast, searchable documentation sites with built-in theming, SEO, and one-command deploys via Astro and Vite. LINK
Expeditione: a browser-based interactive 3D encyclopedia letting you explore handcrafted worlds to learn subjects, with no login, ads, or tracking. LINK
Chronock: syncs Google and Outlook calendars into one workspace, generates booking pages from open slots, and prevents double bookings automatically. LINK
Replay QA for Teams: records browser sessions and lets teams inspect them with devtools, making bug reports easier to reproduce and share. LINK
Skriptr: a collaborative workbench pairing students with an AI research and writing agent, keeping them actively in control of their own work. LINK
Talvo: connects to 2,500+ European banks via PSD2, auto-categorizes transactions, and tracks budgets and net worth with GDPR-native, EU-hosted data storage. LINK

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📚 Trending papers & reports

> Reach 800,000+ tech professionals: If your company is interested in reaching an audience of tech executives, decision-makers and engineers, you may want to advertise with us.
> Chatbot conflict-of-interest tests found leading AI assistants often favor sponsors over users, with Grok 4.1 Fast recommending pricier sponsored products 83% of the time and GPT 5.1 pushing disruptive sponsored options 94% of the time. LINK
> AI shutdown risk argues today's proof that dangerous AI systems can't safely be turned off rests on shaky assumptions, and current fixes hurt model performance too much to be worth adopting yet. LINK
> Self-improving task agents now vet every new tip against past successes before adding it to their playbook, lifting one model's task accuracy from 41% to 89%, beating rival self-improvement methods by 21 points. LINK
> Multiple-choice vision tests for AI often get answered from plausible-sounding text alone, but a new decoding trick that strips out text-only guessing lifts accuracy to the top of the field while cutting response time over 28% versus rival fixes. LINK

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