CNBC's Deirdre Bosa joins 'Closing Bell' with the latest details on Meta's AI strategy.

The release of Open AI's ChatGPT has accelerated the development of artificial intelligence and warnings about its impact on society.

Rise of AI

Meta, led by Mark Zuckerberg, reportedly approached AI startup Perplexity before finalizing its recent deal with Scale AI. According to sources, the discussions did not lead to an acquisition, with some indicating Perplexity walked away and others suggesting the decision was mutual. This move is part of Meta's broader strategy to invest heavily in artificial intelligence, targeting various types of companies across the AI landscape. Observers note that Meta's approach appears driven by momentum rather than a cohesive strategy, as it seeks to secure assets before competitors such as Apple or other tech giants.

The report also highlights the competitive environment among major technology firms to acquire or partner with leading AI startups, as valuations in the sector continue to rise. Additionally, a recent list of top tech companies by KOTU Management notably excluded Alphabet (Google), despite its strong AI offerings, sparking debate about the criteria for industry leadership.

Meta approached Perplexity before massive Scale AI deal

Let's turn now to Meta. Our dear Jabossa joins us now with the latest on Mark Zuckerberg's AI investing spree and this scoop that you confirmed recently today I think is very interesting because it's a name that's been bandied about in the last handful of weeks at least on who might be interested in it. Yes it is a darling as well right in the AI world and so according to sources Zuckerberg approached AI startup and darling perplexity ahead of his scale AI deal Bloomberg first reported the discussions one source tells me that it was perplexity that walked away from the deal another though tells me that it was mutual either way perplexity adds to this growing list of Zuckerberg's big swings in AI where he's not just chasing talent but he's making a play for every layer of the stack and when he can't buy a company like Ilya Setskover's SSI he'll settle for poaching its CEO as Kate Rooney reported yesterday now this all underscores a narrative Scott that I've read that I hear repeatedly from sources here that Meta's campaign is about momentum not coherent strategy perplexity it's a consumer search AI app scale is AI infrastructure SSI is a mission-driven research lab they are very very different companies and taken together this push looks less like a roadmap and more like strategic FOMO in Zuckerberg's case it could come off as just another rebrand without earning the trust or credibility that comes with it which is why Scott he's had some swings and also some misses maybe maybe Zuckerberg is trying to get that asset um even though he was rebuffed obviously according to your reporting before somebody else does maybe that's part of the whole thing when we were sitting out at WWDC outside of Apple Park you know in Apple Park outside HQ Alex Kantorowicz was like Apple should buy perplexity to him that was a no-brainer so I can't help but think that this is an attempt to get something before somebody else I've heard that as well that Apple needs a perplexity or even an anthropic even though these startups remember they are climbing in value there's so much money in private markets willing to go into them that it's a high price tag that yes only a mega cap can afford but then there's a question is do the founders want to sell to a Zuckerberg or a cook they're seen as behind and sort of jumping on this super intelligence or AGI bandwagon a lot of these the top you know AI researchers that are fetching the highest salaries or the highest bonuses they care about purpose right they're already making a huge amount of money they want to go somewhere where they can achieve super intelligence and that's why I think you see Sam Altman Masayoshi-san talking it up a lot about this purpose so maybe it's not just salary but remember that these are researchers that care about cover of Nature magazine or being cited it's not just cap table to them let's get quickly though to one last story which is a big talker out there and I know it is and it's about KOTU management and Philippe KOTU well-known tech investor one of the best and brightest out there for sure putting out its fantastic 40 list the other day what they consider to be the next tech order and the fact that Google is off of it Microsoft NVIDIA Bitcoin Amazon Meta TSMC Tesla those are the first seven I could go through many other names which you know public and private markets Alphabet is nowhere to be found what do you make of that I mean that is just flabbergasting to me whatever you want to say about Alphabet maybe it's facing this innovators dilemma but it is firing on a lot of cylinders as well when you compare Meta right that's playing catch-up and that's had problems with its latest models its latest llama models but then you have Google a Gemini model is and this isn't me saying it by benchmark third-party benchmarks is the cheapest and the best model on the market beating even open AI and Anthropx cloud latest models I mean it seems crazy to leave it off this list and that's just AI you got Waymo which I spent a lot of time talking about expanding rapidly this year maybe its search business could be hurt but I think that covering this company day in day out they're doing a lot it may not be the biggest and the brightest it may not be number one on that list but certainly it's got to be in the top 40. I just think when when Philippe Lafont does something like that and people hold him in such high regard and his views on tech that's like a sit back and say wow of all the companies but you know Co2 you know once was known as a tourist investor in Silicon Valley they're not necessarily like an Andreessen Horowitz or a Sequoia Capital. Dee thanks we'll continue to follow it.

Russia pummeled Kyiv with the largest drone attack of the war, injuring at least 23 people and damaging buildings across the capital only hours after U.S. President Donald Trump spoke with Russia's Vladimir Putin, officials said.

Kyiv

Ukraine Invasion

Russia hits Kyiv with largest drone attack after Trump-Putin call

U.S. President Donald Trump marked the passage of the new spending bill, which includes changes to food assistance, student loan programs, and clean energy credits. Robert Costa joins "CBS Mornings" to break down what's in the legislation.

Washington

Trump set to sign "big, beautiful bill"

More than 80 Palestinians were killed in Gaza on Thursday (July 3), according to health officials, as Israel intensified its strikes, hitting a school-turned-displacement facility. CNN’s Paula Hancocks looks at the damage and humanitarian toll.

Jerusalem

More than 80 people killed in Gaza in one day

Ukrainian President Volodymyr Zelenskyy said Kyiv will do "anything" to advance EU accession talks. Zelenskyy spoke alongside Danish Prime Minister Mette Frederiksen, President of the European Council António Costa and President of the European Commission Ursula von der Leyen.

Ukraine will do 'anything' to advance EU accession talks: Zelenskyy

President Donald Trump said Washington will start sending letters to countries on Friday specifying what tariff rates they will face on imports to the United States, a clear shift from earlier pledges to strike scores of individual deals.

Global Tariffs

Trump: Letters telling countries their tariff rate going out Friday

Indonesian rescuers on Thursday (July 3) temporarily halted a search for 30 people still missing after a ferry carrying 65 people sank near the island of Bali with the loss of six lives, the national search and rescue agency said.

Gilimanuk

Indonesia suspends search for 30 missing after ferry sinks near Bali

After marathon debate sessions in the Senate and House, President Donald Trump’s budget bill passed in the House. Republicans secured the biggest win of Trump’s presidency.

Trump’s landmark ‘big, beautiful bill’ narrowly passes U.S. House

Florida says the first group of migrant detainees have arrived at the new immigration detention center known as "Alligator Alcatraz." CBS News correspondent Shanelle Kaul has more.

Ochopee

First group of detainees arrive at "Alligator Alcatraz," Florida says

U.S. President Donald Trump said Thursday (July 3) that he spoke with Russian President Vladimir Putin and that he plans to hold a call with Ukrainian President Volodymyr Zelenskyy. CBS News White House reporter Willie James Inman has more.

Trump speaks with Putin, plans call with Zelenskyy

CNN’s Priscilla Alvarez reports on a lawsuit from lawyers for Kilmar Abrego Garcia alleging he suffered “torture and mistreatment” after he was wrongfully deported and held in El Salvador’s notorious mega prison.

Tecoluca

Kilmar Abrego Garcia claims he was tortured in El Salvadoran prison

The Kremlin welcomed the development, with spokesman Dmitry Peskov claiming it proves Western arsenals are being depleted and predicting that less aid will hasten the end of the conflict.

U.S. pauses military aid to Ukraine over depleted weapons stockpile

Two contractors employed by UG Solutions spoke to the AP on condition of anonymity as they were revealing their employers’ internal operations.

U.S. contractors say live ammo used at Gaza aid distribution site

Democratic leader Hakeem Jeffries spoke for hours on the House floor about potential impacts of President Trump's "big, beautiful bill" that Republicans are looking to pass before July 4. Following debate, the House is set for a final vote on the massive budget bill.

House debates Trump's 'big, beautiful bill' ahead of final vote

CBS News political contributor Caroline Polisi joins "CBS Mornings" to break down the jury's verdict in Sean "Diddy" Combs' federal trial and the judge's decision to deny bail for the music mogul ahead of his sentencing.

Manhattan

Sean "Diddy" Combs denied bail after split verdict

Liverpool soccer player Diogo Jota has died aged 28, just weeks after marrying his childhood sweetheart. The footballer passed away in a car crash in northern Spain.

Madrid

Liverpool soccer player dies in car crash 10 days after wedding

The Pentagon said that U.S. strikes 10 days ago had degraded Iran's nuclear program by up to two years, suggesting the U.S. military operation likely achieved its goals despite a far more cautious initial assessment that leaked to the public.

Tehran

Iran Strikes

Iran nuclear program degraded by up to two years: Pentagon

Days before his 90th birthday, the Dalai Lama announced the Gaden Phodrang Trust, a non-profit he founded, will have the sole authority to recognize his future reincarnation, but China insists it will choose the successor of the Tibetan spiritual leader.

Lhasa

China rejects Dalai Lama’s succession plan

The U.S. Congress inched towards approving President Donald Trump’s Big Beautiful Bill, despite attempts by Democrats to stop it. The bill is Trump’s signature legislation which includes massive spending increases on the military and immigration enforcement while slashing social programs.

Trump’s Big Beautiful Bill nears approval

Sean (Diddy) Combs was found guilty on prostitution-related charges, but was acquitted on more serious charges of racketeering and sex trafficking giving him a maximum sentence of 20 years. But the courtroom victory was subdued following a judge’s ruling to deny him bail.

New York

Diddy denied bail, avoids life in prison

President Trump says Israel has agreed to a 60-day ceasefire in Gaza, but it remains unclear if Hamas will accept the terms. CBS News senior foreign correspondent Debora Patta has more.

Trump says Israel has agreed to Gaza ceasefire conditions

Bryan Kohberger changed his plea to guilty Wednesday for the 2022 murders of four University of Idaho students. CBS News national correspondent Carter Evans has more on the case.

Boise

New details revealed as Kohberger pleads guilty for 2022 Idaho murders

The Wisconsin Supreme Court struck down a state abortion law that was adopted in 1849 in a 4-3 landmark decision. CBS News' Shanelle Kaul reports.

Madison

Wisconsin Supreme Court strikes down 176-year-old state abortion ban

Macron and Putin held regular discussions around the start of Russia's invasion of Ukraine, with Macron visiting Putin in Russia in February 2022, but dialogue eventually stalled.

Paris

Macron held 'substantial' phone call with Putin

President Trump toured “Alligator Alcatraz,” a migrant detention center he teamed up with Ron DeSantis to build in the Everglades.

Everglades

Protesters gather around ‘Alligator Alcatraz’ as President Trump visits

Jurors in Sean “Diddy” Combs’ federal criminal trial said they have reached a verdict on four of the five counts, but they cannot reach a verdict on Count 1, which is racketeering conspiracy. The judge has instructed the jury to keep deliberating. Deliberations will resume Wednesday (July 2).

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The U.S. Senate passed the Republicans' reconciliation bill on Tuesday (July 1) after more than 24 hours of marathon voting on amendments. Vice President JD Vance cast the tie-breaking vote.

U.S. Senate passes Trump's "big, beautiful bill"

The new order does not rescind existing sanctions on ousted longtime President Bashar al-Assad, his top aides, officials and family members who are accused of having committed war crimes and human rights violations against Syrian civilians.

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Former criminology graduate student Bryan Kohberger has agreed to plead guilty to killing four Idaho college students in 2022, a move that would spare him the death penalty under a deal with prosecutors, ABC News reported on Monday (June 30).

Moscow

Suspect in murders of four Idaho college students to plead guilty

Thailand's Constitutional Court on Tuesday suspended Prime Minister Paetongtarn Shinawatra from duty pending a case seeking her dismissal, adding to mounting pressure on a government fighting for survival on multiple fronts.

Bangkok

Thai court suspends PM from duty pending case seeking her dismissal

Israeli strikes killed at least 60 people across Gaza on June 30 in some of the heaviest attacks in weeks as Israeli officials were due in Washington for a new ceasefire push by U.S. President Donald Trump.

Meta approached Perplexity before massive Scale AI deal

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Rise of AI