This week’s stories are about tech, startup and AI, coming from Taiwan and the USA

IRS turns to AI agents after deep staff cuts

The Internal Revenue Service (IRS) is rolling out artificial intelligence (AI) tools across several divisions as it struggles with a sharply reduced workforce, Axios reported.

The agency has contracted with Salesforce to supply AI support through its Agentforce platform. According to the report, the tools will be used in the Office of Chief Counsel, Taxpayer Advocate Service and the Office of Appeals. The systems are expected to help with tasks such as summarizing case files and searching internal documents, the story noted.

Both the Taxpayer Advocate Service and the Office of Appeals are designed to operate as independent bodies within the agency, assisting taxpayers and resolving disputes outside the courts. It remains unclear whether the AI tools will interact directly with the public.

Paul Tatum, Executive Vice President at Salesforce, told Axios the company does not support “blind AI” handling tax returns without human oversight, but said the decision on staffing rests with the IRS.

The move comes after the agency lost more than a quarter of its workforce following cuts pushed earlier this year by the Department of Government Efficiency and faced additional furloughs during the government shutdown. A recent report from the Treasury Inspector General for Tax Administration found the IRS now has one-third fewer tax auditors than it had in 2024, reducing its capacity to collect revenue.

Analysis from Better IRS estimates that every dollar invested in auditing the top 0.1% of earners can return up to $26 in additional revenue. The IRS has previously projected it could collect an extra $561 billion in unpaid taxes over the next decade with full funding.

IRS turns to AI agents after deep staff cuts

OpenAI teams with Foxconn to build U.S. data center hardware

OpenAI  entered a new manufacturing partnership with Foxconn to co-design and produce components for artificial intelligence (AI) data centers in the United States, the latest move in the company’s push to expand large-scale infrastructure.

I saw this story ay Cnbc and financial details remained undisclosed, but OpenAI said it will have early access to evaluate the systems Foxconn develops and retain the option to purchase them. The companies said the collaboration is intended to accelerate infrastructure deployment while establishing long-term capacity within the U.S. (By the way I have a story here about OpenAI)

Under the agreement, the two companies will jointly develop multiple generations of AI servers, with Foxconn manufacturing core elements — including power, networking and cooling systems — at its U.S. facilities. According to the company’s website, Foxconn operates plants in Wisconsin, Ohio, Texas, Virginia and Indiana.

The announcement comes as OpenAI continues to sign large-scale supply and cloud contracts with major technology firms. The company has outlined spending plans of roughly $1.4 trillion, prompting questions about whether its future revenue will justify the investment. Altman has said OpenAI expects to reach $20 billion in annualized revenue by the end of this year and “hundreds of billions” by 2030.

Past deals include an announced — though not finalized — $100 billion phased investment arrangement with Nvidia, alongside cloud partnerships with Microsoft, Google and Amazon. OpenAI also has major compute commitments with Oracle, according to the story.

Foxconn’s involvement adds a manufacturing layer to OpenAI’s supply chain. While known globally as the assembler of Apple’s iPhones, the company has expanded into AI and automotive hardware and is a key supplier of server racks and components used in systems built around Nvidia’s high-end AI chips. “

OpenAI teams with Foxconn to build U.S. data center hardware

Sony, Warner and Universal sign AI licensing deals with startup Klay Vision

The three largest global music companies have reached artificial intelligence (AI) licensing agreements with Los Angeles–based startup Klay Vision, marking another major step in how AI is reshaping the industry’s commercial landscape.

I read this story at Associated Press and the news follows a wave of AI-related activity at Warner, which a day earlier disclosed partnerships with music-generation platform Udio and model developer Stability AI.

Few specifics were released about the terms or about Klay Vision itself. Warner’s announcement said the agreements are intended to help the startup expand new fan experiences powered by AI “while fully respecting the rights of artists, songwriters and rightsholders.” The company has been working with labels to create a licensing framework for an “AI-driven music experience” and has developed a large-scale music model trained exclusively on licensed content, according to the story.

Last year, the three labels jointly sued two fast-growing AI music startups: Udio and Suno, arguing they had used copyrighted works without permission. But recent developments suggest the disputes are shifting toward negotiated settlements.

Warner, whose roster includes artists such as Ed Sheeran and Dua Lipa, said this week it has resolved its copyright lawsuit against Udio. The two companies will collaborate on a licensed AI music creation service scheduled for launch in 2026, giving users the ability to remix songs by established musicians.

The arrangement mirrors a deal Universal Music Group struck last month with Udio, which prompted criticism after Udio restricted users from downloading AI-generated tracks. Udio said it will maintain a “closed-system” approach as it prepares next year’s launch, noting that participating artists will be credited and paid whenever fans remix, cover or create new works with their voices or compositions.

Ed Sheeran, the UK popstar, is the contracted singer of Warner Bros