⚙️ Cloudflare Crash Exposes the Internet’s Hidden Single Point of Failure

Welcome back to the AI Business Summary newsletter!

The Big Lead: A massive Cloudflare outage knocked X, ChatGPT, and major sites offline for hours after a routine config file crashed servers.

Here’s everything else you need to know this week in AI...

In Today’s Issue:

⚙️ Cloudflare Outage Knocks Out the Backbone of the Internet

💾 Dell + Nvidia Partner to Supercharge Enterprise AI

☁️ TCS to Modernize NHS Supply Chain with AI and Cloud

🤖 Amazon Bedrock + Claude Power Agentic AI in Production

🧩 Microsoft Unveils Agent 365 for Enterprise Oversight

💼 Salesforce Buys Doti AI for $100 Million

🧠 Google Launches Gemini 3

⚖️ Meta Wins FTC Antitrust Case

🚘 Waymo Expands Driverless Rides to Texas and Florida

Infrastructure & Compute

⚙️ Cloudflare Outage Knocks Out the Backbone of the Internet

• Triggered by a configuration file that grew beyond the expected size.

• No evidence of attack or malicious activity.

• Brought down X, ChatGPT, Uber, Spotify, and Politico for hours.

• Restored after roughly three hours; systems are stable.

💾 Dell + Nvidia Partner to Supercharge Enterprise AI

• Expands Dell AI Factory with Nvidia’s Blackwell GPUs.

• $10 billion in AI solutions delivered in the first half of FY26.

• New PowerEdge servers accelerate generative and agentic workloads.

• Automation platform shrinks time from pilot to production.

☁️ TCS to Modernize NHS Supply Chain with AI and Cloud

• Five‑year deal replaces legacy ERP systems with AI solutions.

• Targets £1 billion in savings by 2030.

• Supports 17,000 NHS sites and 1,000 suppliers nationwide.

• Focused on scalability, sustainability, and service speed.

Agentic Systems & Enterprise Tools

🤖 Amazon Bedrock + Claude Power Agentic AI in Production

• Cox Automotive runs 17 live enterprise deployments.

• Druva achieves 63% autonomous resolution and 58% faster responses.

• AgentCore provides a secure 8‑hour autonomous runtime.

• McKinsey projects $450–$650 billion in new annual revenue by 2030.

🧩 Microsoft Unveils Agent 365 for Enterprise Oversight

• Tracks and manages all AI agents across corporate systems.

• Works with agents from Adobe, ServiceNow, Workday, and Azure.

• Enables IT to approve, monitor, and block agents in real time.

• Debuted at Microsoft Ignite in San Francisco.

💼 Salesforce Buys Doti AI for $100 Million

• One‑year‑old startup builds “Organizational Brain” for enterprises.

• Adds secure agentic knowledge search to Slack.

• Strengthens Salesforce’s AI R&D hub in Israel.

• Founded by ex‑Wix engineers, raised $7 million before sale.

Frontier Models & Platforms

🧠 Google Launches Gemini 3

• Outperforms Gemini 2.5 on every reasoning and coding benchmark.

• Deep Think mode scores 93.8% on the GPQA Diamond benchmark.

• Deploys in Search, Gemini app, Vertex AI, and AI Studio.

• Powers Google’s new Antigravity developer platform.

Markets, Regulation & Industry Moves

⚖️ Meta Wins FTC Antitrust Case

• The court found that Meta lacks current monopoly power in social networking.

• The judge cited TikTok and YouTube as the main competitors.

• Dismisses FTC’s five‑year push to break up Meta.

• Allows Instagram and WhatsApp to remain under Meta.

🚘 Waymo Expands Driverless Rides to Texas and Florida

• Launching Dallas, Houston, San Antonio, Miami, and Orlando in 2026.

• Fully autonomous operations start with internal users first.

• Doubles the fleet of cities without safety drivers.

• Over 10 million paid rides since 2020.

🌱 Bonus Thought

The Columbia Business School study reveals something most AI hype misses: breakthrough gains happen in routine workflows that touch millions of users. A 16% sales bump from chatbots. A 3% lift from better search queries. A 2% increase from richer product descriptions. The gains are incremental and repeatable; they add up to measurable revenue and better matching.

This pattern repeats across industries. Cloudflare's outage had nothing to do with AI; it stemmed from basic configuration management. Meanwhile, Dell ships $10 billion in AI infrastructure while TCS promises £1 billion in NHS savings through modernized systems. The real money flows to operators who solve mundane problems at scale, not those chasing sci-fi breakthroughs.

The most telling finding: AI didn't replace workers or slash costs. It made experiences smoother and outcomes more equitable. Smaller sellers caught up to larger ones. Inexperienced buyers saw conversion rates jump 26% compared to 20% for veterans. Speed versus spectacle. Infrastructure versus innovation. Productivity versus disruption.

Treat AI like dependable infrastructure, not a novelty.

📝 Business Prompt to Try

Why It Works

• Strategic visibility: Turns scattered automation wins into a clear map of where AI is delivering real leverage.

• Foresight over reaction: Forces leadership to model second-order effects before talent gaps appear.

• ROI intelligence: Quantifies organizational value creation beyond headcount savings.

• Skill evolution: Builds a forward-looking view of reskilling priorities as agentic AI maturity scales.

💡 Quote of the Week