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Good Afternoon, AI Architects! We Hope you had an incredible holiday.

Today’s headline that’s got everyone talking….. MIT just dropped a major reality check. A new study shows that current AI systems could already replace 11.7% of the U.S. labor market, equal to about 1.2 trillion dollars in wages across finance, health care, HR, logistics and administrative work.

Let’s break it down.

Today’s Unfiltered Report Features:

• [FREE TRAINING] The 3-Step System to Build a Fully Trained AI Team Member

• Top Stories Including: China Accelerates Its Push Into Open-Source AI and SAP Pushes Forward on Europe’s AI Sovereignty

• What MIT’s New “Iceberg Index” Reveals

Read Time: 5 Minutes

Top Stories

China Accelerates Its Push Into Open-Source AI: China’s DeepSeek and other tech giants are rapidly advancing open-source AI models, offering low-cost systems that compete with proprietary tools from Google, OpenAI, and Anthropic. These models are gaining global traction because developers can freely reuse and build on them, enabling faster innovation and reduced computing demands. The surge in China’s open-source capabilities has shaken markets, raised questions about future AI infrastructure needs, and intensified the global race for AI dominance.

AWS Commits $50B to Supercharge Government AI Infrastructure: Amazon Web Services announced a $50 billion plan to build out new, government-focused AI computing infrastructure across the U.S., aiming to give federal agencies far more power and flexibility for advanced AI workloads. The project will add 1.3 gigawatts of compute and expand access to services like SageMaker, Bedrock, and Anthropic’s Claude, with construction expected to begin in 2026. AWS says the investment will remove long-standing barriers that have limited agencies’ ability to adopt AI at scale. The announcement comes as major tech companies aggressively court U.S. government partnerships through low-cost access to their enterprise AI tools.

SAP Pushes Forward on Europe’s AI Sovereignty: SAP is rolling out its EU AI Cloud to give organisations across Europe more control over where and how their AI systems run, keeping data inside the region and aligned with EU standards. The platform combines SAP’s infrastructure with models from partners like Cohere, Mistral AI, and OpenAI, allowing companies to deploy AI in the cloud, on European providers, or fully on-site. The goal is to deliver advanced AI tools while preserving the security, compliance, and sovereignty requirements that many European industries and public-sector groups depend on.

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What’s Trending

What MIT’s New “Iceberg Index” Reveals

MIT just dropped a major reality check. A new study shows that current AI systems could already replace 11.7% of the U.S. labor market, equal to about 1.2 trillion dollars in wages across finance, health care, HR, logistics and administrative work.

The findings come from the Iceberg Index, a large-scale simulation that acts like a digital twin of the U.S. workforce. It analyzes 151 million workers and more than 32,000 skills to reveal where AI can perform tasks today. What we have seen so far in tech layoffs represents only a small fraction of the real exposure. The visible disruption accounts for just 2.2% of wage impact, while the rest sits in everyday operational roles spread across all 50 states.

States like Tennessee, North Carolina and Utah are already using this model to plan training investments and test scenarios before spending real money. The tool lets policymakers zoom into specific counties to see which skills are most at risk, how automation could affect local employment and how different investments might shift future outcomes.

The takeaway is clear. AI’s impact is not limited to tech hubs or highly technical roles. It is widespread, measurable and already reshaping the skills American workers rely on every day.

That’s a Wrap for Today 👋

Thanks for reading see you tomorrow!

Your Future AI Team

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