Axios

Microsoft announced better-than-expected quarterly results on Tuesday, with strength in its cloud business offsetting weak demand for new computers.

Why it matters: Microsoft has been riding a wave of enthusiasm over AI, but its business is still heavily tied to corporate and consumer computing trends.

A surprisingly realistic-looking video game trailer that racked up more than 70 million views on Twitter last week is not a hoax, its developers say.

Driving the news: The game, called Unrecord, became a sensation last week, sparking debates about its authenticity and choice of subject matter.

OpenAI is adding new options to ChatGPT for those who want to ensure their data isn't being used to train the company's algorithms.

Why it matters: Privacy is a key concern with AI, and one big early worry in the generative AI boom has been that data users give to AI engines can then be used to train those same engines, potentially exposing sensitive information.

Netflix is pushing the throttle on South Korean shows and films.

Why it matters: The streamer's new $2.5 billion multi-year commitment is one of the largest it's ever announced to one region.

A little-known partnership between the country's military cyber forces and homeland defenders has stymied the impact of two state-linked attacks, senior officials disclosed at the RSA Conference.

Why it matters: With so many cyber-related agencies in the U.S., it's often difficult for anyone outside of the government to understand which office is responsible for what during an attack.

This year's RSA Conference has become a hot spot for AI security product announcements.

Driving the news: Companies big and small are rolling out new products this week that incorporate generative AI.

The co-creator of a popular app that turns real-life running into an audio-assisted game has a new one on the way featuring Marvel superheroes. But Six to Start CEO Adrian Hon is also advising caution about the so-called gamification of real-life activities, saying much of it is executed poorly.

Why it matters: The application of points and unlockable badges to leisure and work has become common in recent years, deployed as a motivational tool to keep users engaged.

Most venture capitalists seem to believe that artificial intelligence is the most transformative tech innovation — and investment opportunity — since mobile. Or, in some cases, since the wheel.

The big picture: Their certainty doesn't extend much further.

Before anyone zips high above congested cities in a Joby electric air taxi, the U.S. Air Force (USAF) will be putting the revolutionary aircraft to work moving cargo and people at California's Edwards Air Force Base.

The big picture: The U.S. government is often the first customer for new technologies, such as microprocessors and jet turbine engines. Now the Defense Department is helping to usher in a new era of electric aviation.

Spotify on Tuesday reported double-digit percentage gains for both monthly active users and premium subscribers for the first quarter of 2023. CEO Daniel Ek told Axios in an interview that the blockbuster numbers "even surprised us."

Why it matters: The numbers helped Spotify beat Wall Street expectations on gross profit margins, a key metric that investors are watching closely for signs the Swedish audio giant's operations can become more efficient.

The first large electric vertical takeoff and landing (eVTOL) aircraft approved for commercial deployment in the U.S. isn't an urban air taxi or a cargo shuttle. It's an aerial crop-spraying machine for farm fields.

Why it matters: Commercial farmers have been moving away from tractor sprayers, which can damage crops, to autonomous aerial systems. But most crop-spraying drones are too small to cover enough acreage.