Microsoft debuts Fara-7B, a small ‘computer-use’ model that runs natively on PCs

Microsoft has introduced Fara-7B, a new AI model designed to automate tasks directly on users' PCs, enhancing user experience and privacy by performing complex operations locally rather than relying on cloud services. This model features 7 billion parameters, positioning it as a competitive alternative to existing AI solutions like GPT-4o.

Warner Music Group Corp. has reached a partnership agreement with AI music generation platform Suno Inc., settling a copyright lawsuit that was initiated last year. This deal marks a significant shift in the relationship between traditional music companies and AI startups, as both parties aim to collaborate on music creation.

NetApp Inc. has raised its full-year earnings and revenue forecast, driven by strong demand from customers engaged in artificial intelligence projects, leading to a positive response from investors and an increase in stock price during extended trading.

Harmonic AI Inc., a startup focused on artificial intelligence for formal mathematical reasoning, has successfully raised $120 million in funding, achieving a valuation of $1.45 billion. This funding aims to enhance the development of an advanced mathematical reasoning model that addresses the issue of hallucinations, where AI models generate incorrect answers.

At Microsoft Ignite 2025, Microsoft Corp. unveiled its AI roadmap, showcasing a shift from simple AI copilots to fully integrated agents across data infrastructures, alongside partners like Dell Technologies Inc. and Oracle Corp. The event featured over 70 product announcements, including Agent 365, a new control plane for AI management.

Arcade.dev has launched a new security feature called URL Elicitation, enhancing the Model Context Protocol (MCP) in collaboration with Anthropic PBC. This feature standardizes and secures the authentication process for AI agents interacting with real-world services, marking a significant advancement in enterprise-grade authorization.

SUSE SE has announced a tech preview of its SUSE Multi-Linux Manager and Trento Model Context Protocol server, marking a significant step towards creating an AI-assisted computing infrastructure that simplifies operations through natural language commands.

Model ML Inc., a startup specializing in artificial intelligence software for investment professionals, has successfully raised $75 million in a Series A funding round led by FT Partners, with participation from notable investors including QED, 13Books, Latitude, Y Combinator, and LocalGlobe.