STATE OF AI REPORT

Summary from the TLDR AI newsletter

Air Street Capital's eighth annual State of AI Report, a trusted industry benchmark, finds OpenAI still leads on research but China's open-weight ecosystems is close beyond with 40% of all new fine-tunes on Hugging Face powered by Qwen.AI software adoption is firmly mainstream with 44% of US businesses now paying for AI (up from 5% in 2023) and average contract values hitting $530k in 2025. Capability per dollar doubles every 3.4 months for DeepMind and 5.8 months for OpenAI, but AI safety budgets remain anemic at just $133M combined across 11 major organizations, less than what frontier labs burn in a day.