Need to Know News - March 6th, 2025
In this week's Need to Know News edition:
🤖 AI-created business plans now outperforming humans - investors % more likely to fund them...
🤖 Semrush unveils groundbreaking tool that could save your brand from AI search disasters...
🤖 The beauty industry's $10 billion AI revolution that has Estée Lauder mining 80 years of customer data in seconds...
And whole lot more!
Google Supercharges Search with Gemini 2.0 and New 'AI Mode'
Google's AI Overviews are getting a major upgrade with Gemini 2.0. This powerful update tackles complex questions about coding, math, and multimodal queries. The service now reaches teens and non-signed-in users too.
The big news? A new experimental "AI Mode" for power users. This feature handles nuanced, multi-part questions with smart follow-up capabilities. It uses "query fan-out" to search multiple subtopics at once. The system combines Google's vast information network with advanced AI reasoning.
Currently, only Google One AI Premium subscribers can test this feature.
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AI Now Outperforms Humans at Business Planning
New research shows AI can match or beat humans at creating business strategies. When tested head-to-head, AI-written business plans scored higher in all areas than human-made ones.
Investors preferred the AI plans. They were 5% more likely to accept them into accelerator programs. They were also 3% more likely to invest in these AI-created businesses.
When researchers flipped the test, AI proved excellent at judging business plans too."Everyone now has access to high-level strategic decision-making," says researcher Harsh Ketkar. "It's McKinsey-in-a-box."
Amazon Jumps Into AI Race with New "Reasoning" Model
Amazon is building its own advanced AI model that can think step-by-step. This "reasoning" model will launch under Amazon's Nova brand as early as June.
The new AI will work like a careful thinker, making it better at math and science problems. Amazon plans a "hybrid" design similar to Anthropic's Claude 3.7 Sonnet - giving both quick answers and deeper thinking in one system. Plus, they're aiming to make it cheaper than rivals like OpenAI and DeepSeek.
Salesforce Launches Training Program for AI Agent Builders
Salesforce just created a new learning path called "Agentblazer" to help people build AI agents. The program has three levels - Champion, Innovator, and Legend. Each teaches different skills for working with their Agentforce platform.
"Our goal is to enable 1 million agent pioneers," says Adam Evans from Salesforce.
Building AI agents is very different from regular coding. Instead of writing rules for every situation, developers can now give AI more flexible instructions and let it figure things out.
The company is offering free certification exams through 2025 to encourage more people to learn these new skills.
Fast-Food Giants Bet Big on AI Despite Early Failures
McDonald's, Wendy's, and Yum! Brands are racing to add AI to their restaurants. A recent survey shows 42% of restaurant leaders believe AI will transform their industry in 2025.
McDonald's is connecting kitchen equipment to the internet and creating AI drive-throughs. They're even working on an "AI virtual manager" for scheduling shifts.
Early AI attempts had problems - McDonald's deal with IBM failed when the system ordered "bacon ice cream" by mistake. But companies are improving their systems. Wendy's is expanding its FreshAI drive-thru from 100 to 600 locations, finding it increases customer spending and improves profits.
Semrush Launches Tool to Control How Brands Appear in AI Search
Semrush just released AI Optimization (AIO), the first tool that helps companies manage how they show up in AI search results. This matters because 58% of people now use AI for product recommendations.
The new tool lets businesses:
- Track their brand across AI platforms like ChatGPT and Perplexity
- Fix wrong information about their company
- See what sources AI uses when talking about them
- Beat competitors in AI search results
"AI search is already making decisions about your brand," says Marcus Tober from Semrush.
Meta Plans to Give Every Business Its Own AI Agent
Meta is racing to bring AI agents to small businesses worldwide. These smart assistants won't just answer questions - they'll take action by researching products, planning trips, and helping companies find customers.
"We're quickly coming to a place where every business will have a business agent representing it," says Clara Shih, Meta's head of business AI. These agents will work 24/7, speaking in the company's voice and providing "concierge service" to customers.
Meta's open-source approach has already seen its Llama AI models downloaded over 800 million times. The upcoming Llama 4 will power these new AI agents, targeting the 200 million small businesses already using Meta's platforms.
Estée Lauder Using AI to Stay Ahead in Fast-Moving Beauty Market
Estée Lauder is using Microsoft's AI tools to transform how they spot trends and market products. Their new ConsumerIQ system lets employees instantly search 80 years of customer data. It uses simple questions instead of spending days digging through reports.
The beauty giant is also building Trend Studio. The tool spots market trends and quickly creates marketing materials. This helps them compete with nimble startups that jump on TikTok trends. This AI push comes as experts predict generative AI could add $10 billion to the beauty industry.
Home Depot Reportedly Banking on AI to Rebuild Sales
Home Depot is using AI to recreate its in-store customer service experience online. The new tool helps shoppers answer questions about products and projects, with plans to add design ideas and product comparisons soon.
"All those investments are coming together to drive an improvement in conversion rates," says Jordan Broggi, Home Depot's EVP of customer experience.
The retailer has used AI on its website for about a year and plans to expand it to help professional contractors - an increasingly important customer base as DIY sales drop.
Thanks for reading.
Until next time!
The AI Marketers
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