FT : Saudi Arabia to scale back Neom megaproject

Saudi Arabia to scale back Neom megaproject
Review expected to propose a significant redesign after years of delays and overruns

Saudi Crown Prince Mohammed bin Salman’s flagship project Neom is set to be significantly downscaled and redesigned as a review of the massive development nears completion after years of delays and budget overruns.

People briefed on the matter said Prince Mohammed, Neom’s chair, now envisages something “far smaller”, a sign that Riyadh acknowledges the failings in its original highly ambitious concept, the communications around it and the initial phase of construction.

The development stretches along Saudi Arabia’s Red Sea coast and covers an area roughly the size of Belgium.

The Line, a futuristic linear city that is the giga-project’s centrepiece, is to be radically scaled back. Neom could now become a hub for data centres as part of Prince Mohammed’s aggressive push for the kingdom to become a leading AI player, the people said.


The changes come as Riyadh seeks to manage its finances as it grapples with tightening liquidity after a decade of massive spending and with oil prices subdued. It also still has hard deadlines to meet in costly preparations to host the Expo international trade fair in 2030 and the football World Cup in 2034.

Since its initial launch, Neom has drawn widespread scepticism inside and outside the kingdom. But people briefed on the matter argued the planned changes illustrated a willingness within government to adapt to realities as it takes stock of its plans.

“It shows that the system has a capacity to adjust its goals,” said one of the people.


The year-long review is expected to conclude by the end of the first quarter of this year or shortly after.

Neom said in a statement to the FT it was “always looking at how to phase and prioritise our initiatives so that they align with national objectives and create long-term value”.

“As a development that’s meant to span generations, Neom is advancing projects in line with strategic priorities, market readiness and sustainable economic impact,” it said.

After Neom’s launch in 2017, multiple megaprojects were announced for the development, including The Line, which was ultimately supposed to run 170km inland from the sea over desert mountains, a ski resort called Trojena that was set to host the Asian Winter Games in 2029, and a coastal logistics and industrial zone known as Oxagon.

Riyadh announced on Saturday that Trojena, which will be downsized, would no longer host the winter games as scheduled.

The person briefed on the matter said architects were already working on redesigning The Line — which has already been scaled back considerably — to develop a more “modest” project that could utilise existing infrastructure built over the past few years.

“The Line will be a totally different concept. It will use the existing infrastructure in a totally different manner,” the person said.

The person said there would be a greater focus on “industrial” sectors in Neom, including it becoming a hub for data centres.

“Data centres need water cooling and this is right on the coast so it will have seawater cooling. So it will be a major centre for data centres,” the person said.

Neom said that as the kingdom “works to establish itself as a global hub for data and AI, Neom is focused on attracting investors, partners and tenants in these fast-growing sectors”.

It added that the project had “several natural advantages” including digital infrastructure, its location “at the crossroads of three continents”, access to “abundant and cost-effective renewable energy” and the availability of land.

Neom had for years been a cash cow for consultants, construction companies and architects as tens of billions of dollars were poured into what was described as the world’s largest construction site. But work stalled after the longtime chief executive Nadhmi al-Nasr abruptly departed in November 2024.

His replacement, Aiman al-Mudaifer, last year launched a “comprehensive” review of the scope and priority of the projects within the development.


Prince Mohammed, who unveiled Neom as part of his grandiose plans to modernise the kingdom and diversify its oil-addicted economy, has publicly stated he would cancel or change projects if it were in the nation’s interest.

“We are determined — by the grace and power of God — to achieve and complete them [his transformation goals],” he told the consultative Shura Council in September. “However, we also affirm that we will not hesitate to cancel or make any radical amendment to any programmes or targets if we find that the public interest so requires.”

Neom is owned by the near $1tn Public Investment Fund, which is also chaired by Prince Mohammed and is tasked with spearheading the transformation plans. But it has come under pressure to deliver returns on its huge investments as Riyadh has recalibrated its spending priorities.

The PIF’s portfolio of megaprojects is also being reviewed.

FT : Saudi Arabia to scale back Neom megaproject

Saudi Arabia to scale back Neom megaproject
Review expected to propose a significant redesign after years of delays and overruns

Saudi Crown Prince Mohammed bin Salman’s flagship project Neom is set to be significantly downscaled and redesigned as a review of the massive development nears completion after years of delays and budget overruns.

People briefed on the matter said Prince Mohammed, Neom’s chair, now envisages something “far smaller”, a sign that Riyadh acknowledges the failings in its original highly ambitious concept, the communications around it and the initial phase of construction.

The development stretches along Saudi Arabia’s Red Sea coast and covers an area roughly the size of Belgium.

The Line, a futuristic linear city that is the giga-project’s centrepiece, is to be radically scaled back. Neom could now become a hub for data centres as part of Prince Mohammed’s aggressive push for the kingdom to become a leading AI player, the people said.


The changes come as Riyadh seeks to manage its finances as it grapples with tightening liquidity after a decade of massive spending and with oil prices subdued. It also still has hard deadlines to meet in costly preparations to host the Expo international trade fair in 2030 and the football World Cup in 2034.

Since its initial launch, Neom has drawn widespread scepticism inside and outside the kingdom. But people briefed on the matter argued the planned changes illustrated a willingness within government to adapt to realities as it takes stock of its plans.

“It shows that the system has a capacity to adjust its goals,” said one of the people.


The year-long review is expected to conclude by the end of the first quarter of this year or shortly after.

Neom said in a statement to the FT it was “always looking at how to phase and prioritise our initiatives so that they align with national objectives and create long-term value”.

“As a development that’s meant to span generations, Neom is advancing projects in line with strategic priorities, market readiness and sustainable economic impact,” it said.

After Neom’s launch in 2017, multiple megaprojects were announced for the development, including The Line, which was ultimately supposed to run 170km inland from the sea over desert mountains, a ski resort called Trojena that was set to host the Asian Winter Games in 2029, and a coastal logistics and industrial zone known as Oxagon.

Riyadh announced on Saturday that Trojena, which will be downsized, would no longer host the winter games as scheduled.

The person briefed on the matter said architects were already working on redesigning The Line — which has already been scaled back considerably — to develop a more “modest” project that could utilise existing infrastructure built over the past few years.

“The Line will be a totally different concept. It will use the existing infrastructure in a totally different manner,” the person said.

The person said there would be a greater focus on “industrial” sectors in Neom, including it becoming a hub for data centres.

“Data centres need water cooling and this is right on the coast so it will have seawater cooling. So it will be a major centre for data centres,” the person said.

Neom said that as the kingdom “works to establish itself as a global hub for data and AI, Neom is focused on attracting investors, partners and tenants in these fast-growing sectors”.

It added that the project had “several natural advantages” including digital infrastructure, its location “at the crossroads of three continents”, access to “abundant and cost-effective renewable energy” and the availability of land.

Neom had for years been a cash cow for consultants, construction companies and architects as tens of billions of dollars were poured into what was described as the world’s largest construction site. But work stalled after the longtime chief executive Nadhmi al-Nasr abruptly departed in November 2024.

His replacement, Aiman al-Mudaifer, last year launched a “comprehensive” review of the scope and priority of the projects within the development.


Prince Mohammed, who unveiled Neom as part of his grandiose plans to modernise the kingdom and diversify its oil-addicted economy, has publicly stated he would cancel or change projects if it were in the nation’s interest.

“We are determined — by the grace and power of God — to achieve and complete them [his transformation goals],” he told the consultative Shura Council in September. “However, we also affirm that we will not hesitate to cancel or make any radical amendment to any programmes or targets if we find that the public interest so requires.”

Neom is owned by the near $1tn Public Investment Fund, which is also chaired by Prince Mohammed and is tasked with spearheading the transformation plans. But it has come under pressure to deliver returns on its huge investments as Riyadh has recalibrated its spending priorities.

The PIF’s portfolio of megaprojects is also being reviewed.

CrunchBase : The Week’s 10 Biggest Funding Rounds: A Big Week For AI And Drone D

The Week’s 10 Biggest Funding Rounds: A Big Week For AI And Drone Delivery

Venture investors’ thirst for AI isn’t close to quenched yet. That’s the takeaway from this week’s lineup of large U.S. funding rounds, which was mostly a mix of AI pure-plays and companies with a heavy focus on the technology.

The week’s largest round however, a $600 million financing for drone delivery provider Zipline, offered evidence that investors are also keen on platforms and technologies with applications in the physical world. The second-largest round, a $480 million seed deal for upstart AI lab Humans&, meanwhile, showed there’s also still appetite for ultra-ambitious newcomers.

1. Zipline, $600M, drones: Drone delivery unicorn Zipline says it closed on over $600 million at a $7.6 billion valuation from investors including Fidelity, Baillie Gifford, Valor Equity Partners and Tiger Global. South San Francisco, California-based Zipline also says it expects to expand into at least four new states this year, with initial plans to begin service in Houston and Phoenix.

2. Humans&, $480M, AI: Humans&, an AI lab working to apply the technology in ways that are centered “around people and their relationships with each other,” secured $480 million in seed funding. The company was founded in September by top researchers from Google, Anthropic, xAI, OpenAI and Meta.

3. Baseten, $300M, AI infrastructure: AI infrastructure startup Baseten reportedly raised $300 million with backing from IVP, CapitalG and Nvidia. The financing set a $5 billion valuation for the 7-year-old, San Francisco-based company.

4. OpenEvidence, $250M, medical AI: OpenEvidence, an AI platform for doctors, announced that it picked up $250 million in a Series D funding round that doubled its valuation to $12 billion. Thrive Capital and DST co-led the round, which marks the fourth fundraise for the Miami-based startup in less than a year.

5. Noveon Magnetics, $215M, rare earth magnets: San Marcos, Texas-based Noveon Magnetics, a manufacturer of sintered rare earth permanent magnets, says it secured $215 million in Series C funding, including $200 million from One Investment Management. The money will go toward expanding the company’s rare earth magnet manufacturing capacity.

6. Upscale AI, $200M, AI infrastructure: AI networking infrastructure startup Upscale AI landed $200 million in Series A funding led by Tiger Global, Premji Invest and Xora Innovation. The financing set a valuation of more than $1 billion for the Santa Clara, California-based company, which was founded less than two years ago.

7. (tied) Preply, $150M, online tutoring: Language learning marketplace Preply raised $150 million in Series D funding led by WestCap. The financing reportedly sets a $1.2 billion valuation for the 14-year-old, Brookline, Massachusetts-based company.

7. (tied) Inferact, $150M, AI inference: Inferact, a startup founded by creators and maintainers of open-source LLM inference engine vLLM, announced its launch along with $150 million in initial funding. Andreessen Horowitz and Lightspeed Venture Partners led the financing, which set an $800 million valuation for the company.

7. (tied) Claroty, $150M, cybersecurity: Security provider Claroty picked up $150 million in Series F funding led by Golub Growth. The 11-year-old company, founded in Israel and now headquartered in New York, has raised close to $900 million in equity funding to date, per Crunchbase data.

10. Zanskar, $115M, geothermal energy: Salt Lake City-based Zanskar, a startup applying AI to geothermal exploration, raised $115 million in Series C funding led by Spring Lane Capital and joined by a long list of new and existing investors.

The Information : OpenAI’s Chaos Energy

OpenAI’s Chaos Energy

In its life so far, OpenAI has accomplished any number of feats, including the releases of ChatGPT, Dall-E and Sora. Those tools, which craft words, pictures and videos with AI, have catalyzed an unprecedented boom time.

Those breakthroughs cast a radiant glow on OpenAI, and steadily, it collected more money faster than any startup ever from everyone who matters in Silicon Valley—never mind that some of its products flout both copyright law and good taste in nearly equal measure. And never mind that OpenAI’s board once spontaneously fired (and quickly rehired) its wunderkind CEO, an event that internally has been rebranded as “The Blip.” (I kid you not—that’s according to our star AI reporter, Stephanie Palazzolo.)

For the better part of three years, OpenAI enjoyed an enviable perception of itself. The startup’s rise seemed both predestined and inextinguishable.

Recently, though, the grand narrative about OpenAI has slipped out of the company’s hands, and its continued dominance no longer seems assured. For a good moment, I found this turn of events surprising. Later, I had to laugh at myself for falling for an OpenAI ploy, which I’ve come to consider the company’s actual greatest achievement to date: In retrospect, it’s astounding that it managed to convince a lot of people of its invincibility while a pile of evidence mounted showing that it runs on a stream of chaotic energy. On a list of reliable fuels, such a power source would rank near Iranian-refined plutonium.

I detected a strong sense of that volatility as I edited this week’s Big Read, which is about OpenAI co-founder Greg Brockman and his wife, Anna. Mostly, the piece delves into their foray into MAGA land and national politics. And there alone, I sense a good amount of chaos: Brockman, apparently, hasn’t ever held any strong political beliefs, and the donations mostly seem like an opportunistic bid to win favor with President Donald Trump, a fella as swayable as a weathervane in gale-force wind. So who knows what Brockman’s money will actually get him and what exactly it may cost him in the long run?

Our story does a good job of filling in the rest of the picture around the couple. Some of those details I must’ve known at one point but have since forgotten, like the fact that OpenAI has 11 co-founders. Eleven! Think of that chaos. I have a group chat with my friends that’s about the same size, and often we’re lucky if we can reach consensus on whether to arrive for brunch at 12:30 or 1. God forbid we try to arrive together on a definition of what constitutes humanlike AI.

Most of those 11 have left: Brockman and just two other co-founders still remain at OpenAI. I totally get why the others decamped. Chaos can get tiring. I’m very used to making brunch plans for 12 and eventually sitting down at a table for four. As Brockman has stayed, he and OpenAI have weathered plenty of internal strife. In 2024, for example, OpenAI and Brockman agreed he should take a sabbatical; there’d been complaints about his workplace combativeness. Three months later, he returned—shortly after another key executive, Mira Murati, left to begin a rival AI startup, Thinking Machines Lab. Chaos!

In the last few days, OpenAI has grasped to retake control of its story. Shortly, it plans to launch ads, which might offer the same type of energy jolt you get from a mouthful of 6-milligram Zyns, and it has installed a new leader to shape the products it will sell to businesses. Meanwhile on X, one executive was complaining about a “narrative violation”—a corporate dog whistle meant to suggest unfair media coverage—regarding the company’s recent growth figures.

Will OpenAI recapture its former status quo? I’d like to think we’ve seen enough stories like our Big Read to make us all at least a liiittle bit more skeptical. Then again, all those Sora videos have left reality feeling rather permanently warped.

The Information : OpenAI’s Chaos Energy

OpenAI’s Chaos Energy

In its life so far, OpenAI has accomplished any number of feats, including the releases of ChatGPT, Dall-E and Sora. Those tools, which craft words, pictures and videos with AI, have catalyzed an unprecedented boom time.

Those breakthroughs cast a radiant glow on OpenAI, and steadily, it collected more money faster than any startup ever from everyone who matters in Silicon Valley—never mind that some of its products flout both copyright law and good taste in nearly equal measure. And never mind that OpenAI’s board once spontaneously fired (and quickly rehired) its wunderkind CEO, an event that internally has been rebranded as “The Blip.” (I kid you not—that’s according to our star AI reporter, Stephanie Palazzolo.)

For the better part of three years, OpenAI enjoyed an enviable perception of itself. The startup’s rise seemed both predestined and inextinguishable.

Recently, though, the grand narrative about OpenAI has slipped out of the company’s hands, and its continued dominance no longer seems assured. For a good moment, I found this turn of events surprising. Later, I had to laugh at myself for falling for an OpenAI ploy, which I’ve come to consider the company’s actual greatest achievement to date: In retrospect, it’s astounding that it managed to convince a lot of people of its invincibility while a pile of evidence mounted showing that it runs on a stream of chaotic energy. On a list of reliable fuels, such a power source would rank near Iranian-refined plutonium.

I detected a strong sense of that volatility as I edited this week’s Big Read, which is about OpenAI co-founder Greg Brockman and his wife, Anna. Mostly, the piece delves into their foray into MAGA land and national politics. And there alone, I sense a good amount of chaos: Brockman, apparently, hasn’t ever held any strong political beliefs, and the donations mostly seem like an opportunistic bid to win favor with President Donald Trump, a fella as swayable as a weathervane in gale-force wind. So who knows what Brockman’s money will actually get him and what exactly it may cost him in the long run?

Our story does a good job of filling in the rest of the picture around the couple. Some of those details I must’ve known at one point but have since forgotten, like the fact that OpenAI has 11 co-founders. Eleven! Think of that chaos. I have a group chat with my friends that’s about the same size, and often we’re lucky if we can reach consensus on whether to arrive for brunch at 12:30 or 1. God forbid we try to arrive together on a definition of what constitutes humanlike AI.

Most of those 11 have left: Brockman and just two other co-founders still remain at OpenAI. I totally get why the others decamped. Chaos can get tiring. I’m very used to making brunch plans for 12 and eventually sitting down at a table for four. As Brockman has stayed, he and OpenAI have weathered plenty of internal strife. In 2024, for example, OpenAI and Brockman agreed he should take a sabbatical; there’d been complaints about his workplace combativeness. Three months later, he returned—shortly after another key executive, Mira Murati, left to begin a rival AI startup, Thinking Machines Lab. Chaos!

In the last few days, OpenAI has grasped to retake control of its story. Shortly, it plans to launch ads, which might offer the same type of energy jolt you get from a mouthful of 6-milligram Zyns, and it has installed a new leader to shape the products it will sell to businesses. Meanwhile on X, one executive was complaining about a “narrative violation”—a corporate dog whistle meant to suggest unfair media coverage—regarding the company’s recent growth figures.

Will OpenAI recapture its former status quo? I’d like to think we’ve seen enough stories like our Big Read to make us all at least a liiittle bit more skeptical. Then again, all those Sora videos have left reality feeling rather permanently warped.

The Information : OpenAI Aims to Lure Businesses From Anthropic

OpenAI Aims to Lure Businesses From Anthropic
While OpenAI’s younger rival Anthropic is winning over business customers, OpenAI is trying to convince companies it’s more than a consumer chatbot.

The Takeaway
  • OpenAI plans a new offering to business’ efforts to use AI
  • OpenAI aims to counter rival Anthropic’s strong traction with enterprise customers
  • Executives have been courting big clients in Davos, San Francisco

Some of OpenAI’s most attention-grabbing efforts over the past year have involved products for consumers, from a social app to an AI-powered device it plans to announce later this year. Last week, though, the company’s CEO, Sam Altman, gathered Disney CEO Bob Iger and other corporate executives in San Francisco to deliver a message: OpenAI is serious about catering to business customers.

Over a lavish multicourse dinner accompanied by fine wines, Altman told attendees OpenAI could be a one-stop shop for all their AI needs, from ChatGPT to its coding tool, Codex, to its models for automating workflows, said a person with knowledge of the company’s plans.

The gathering was intended to preview a new OpenAI offering aimed at large companies, said another person with knowledge of the company’s plans. It couldn’t be learned what that offering is, but it aims to help business customers with large AI transformations. That generally means overhauling their existing technology to incorporate AI into a variety of operations, from customer service to rewriting older application code to how companies organize their data.

The new offering also aims to unify businesses’ efforts to use AI. That could involve bundling OpenAI’s various offerings into one that can make it easier for corporate clients to track their spending. The company currently offers businesses different tiers of ChatGPT, or higher-priced features such as advanced models and unlimited messages, as well as access to its models through an application programming interface, among other products.

To some attendees of the dinner, the subtext was clear: Altman wanted to steer customers away from archrival Anthropic, whose coding and workplace automation tools, Claude Code and Cowork, have captured the business world’s attention over the past month.

Anthropic last year projected it would generate more money from selling AI models to businesses through an API than OpenAI, according to both companies’ financial disclosures. That’s a notable result, given that OpenAI had a head start of several years in that market.

That said, OpenAI’s enterprise business is likely bigger than Anthropic’s because many businesses pay for ChatGPT, in addition to paying for its AI models through an API. But Anthropic has gained a reputation among corporate executives as the go-to provider of AI for businesses, say some large customers. That’s in large part because it hasn’t aggressively pursued many new consumer features.

OpenAI, in contrast, has continued to introduce such products at a dizzying speed. And it seems to still be figuring out how to shape its strategy for businesses, some of these large customers say. For most of the past few years, it has benefited from individual users of ChatGPT to spread the word with employers, to which it then sells large subscription contracts. But selling larger contracts to corporate customers is a more drawn-out process, which typically involves multiple meetings over many months with different executives, who are used to being wined and dined.

It wants more of the clients, like Databricks and Intuit, that come directly to OpenAI to use its products, said a person with knowledge of the company’s enterprise plans.

During the past week during the World Economic Forum at Davos, Switzerland, two senior OpenAI executives—Chief Operating Officer Brad Lightcap and Chief Revenue Officer Denise Dresser, who previously was CEO of Slack—were also talking up potential corporate clients, said one of the people. Back in San Francisco, the company told employees on Wednesday that a recently recruited top AI researcher from Thinking Machines Lab, Barret Zoph, was going to take charge of creating business products.

Anthropic Advantage

Claude Code, launched last year, is largely responsible for Anthropic’s recent success with businesses. It offers the ability to write and revise code; for some customers, that is a bigger contributor to productivity than the chatbots employees use for more general tasks and search, according to the CEO of a startup that spends millions of dollars per month on both OpenAI and Anthropic. And nonengineers have used the product, as well as its offshoot, Cowork, for noncoding tasks involving other apps they use for work.

The positive reception for Anthropic’s efforts has dialed up the pressure on OpenAI to improve competing products as well as introduce other features prized by large corporate clients. At the same time, some OpenAI products, like agents aimed at knowledge work such as creating and editing spreadsheets, have fallen short of their forecasts.

OpenAI leaders, in meetings with consultants that work with its customers, recently teased upcoming upgrades to OpenAI’s AI coding tool, Codex, which they said would soon beat Claude Code’s performance and features, according to one of the consultants. The company also has been adding collaboration and other workplace features to ChatGPT. That hasn’t gone unnoticed by Microsoft, which is racing to improve its own AI features in its workplace apps.

OpenAI has also been launching features aimed at specific industries such as healthcare. Altman on Friday said in an X post the company was launching features in Codex to focus on areas such as cybersecurity, a field Anthropic has also focused on.

Over the last year, OpenAI has also reorganized the way it sells to customers by having a single salesperson sell multiple products to a customer, versus having multiple people represent various OpenAI products, according to a person with knowledge of the company’s teams.

OpenAI has also been analyzing the areas in which business customers are obtaining the most value from using its AI products, and it is considering releasing tools to help customers better understand the financial benefits they’re getting, said a person familiar with the efforts. Having such tools will be key to its ability to continue landing large agreements with customers, said a consultant who works with OpenAI clients.

The company has struck multiyear deals worth at least $100 million with seven customers, according to the person with knowledge of the matter. Six other customers have inked agreements worth at least $75 million, and these could potentially grow to $100 million or more when the customers renew their contracts, said the person.

Anthropic, in contrast, said in December it had at least nine customers spending more than $100 million annually on its products, including Microsoft, which is on track to spend $500 million annually on Anthropic models.


Anthropic also seems to have pulled ahead of OpenAI in designing contracts for enterprise customers, said the startup CEO and a consultant who works with OpenAI customers. Anthropic lets customers commit to using a set amount of API capacity up front in exchange for discounted pricing, the person said. Some OpenAI customers have privately complained that they haven’t been able to get this level of contracting flexibility.

Last year, though, OpenAI introduced more flexibility. It now provides companies credits for advanced models and tools, which means the per-seat price differs based on the number of credits customers buy, according to the person with knowledge of the company’s enterprise plans. Large enterprise customers commonly get discounts when they strike large commitments, the person said.

Other efforts have stumbled. Last year, the company cut its revenue expectations from selling agents by half, to $1.4 billion in 2025. For instance, ChatGPT Agent, a set of features OpenAI launched in July for ChatGPT subscribers to create and edit spreadsheets and presentations, didn’t meet some internal benchmarks—such as use by 10% of ChatGPT weekly active users, said a person with knowledge of the effort.

Such setbacks haven’t deterred the company, which has long had ambitions to make itself relevant to businesses as well as consumers. Altman has referred to ChatGPT as a “supersmart personal assistant for work.” A year ago, for instance, OpenAI showed off a prototype sales-related AI agent that could sort through sales leads and determine which ones were worth contacting.

OpenAI already generates roughly 40% of its revenue from business customers. Chief Financial Officer Sarah Friar said on Wednesday at Davos that roughly 50% of OpenAI’s business will come from enterprise customers by the end of the year. Altman said in an X post on Thursday that the company had added $1 billion in annualized revenue from API sales in the last month alone. The statistic countered a public perception of the company: “People think of us mostly as ChatGPT,” he noted.

WWD : The 10 Best Winter Sneakers That Will Keep You Active This Season (Yes, Ev

The 10 Best Winter Sneakers That Will Keep You Active This Season (Yes, Even During a Record-Breaking Snowstorm)
You've got places to be. Don't let a major weather event hold you back this time.

The bitter cold (akin to the freezing temperatures, alongside snow and ice, that are set to hit over 160 million people across the U.S. this weekend) can severely damage most pairs of running sneakers, leaving them stained, soggy, and completely ruined. While we love a good pair of beaters, there’s nothing fun about leaving them out to dry all night, only to wake up the next morning failing to see much improvement in the kicks’ condition.

This is where specialized cold-weather sneakers come in to save the (snow) day. Sparing you from moisture buildup and the blisters that follow, the best waterproof sneakers on the market today typically share a few common characteristics. Some major ones? The presence of Gore-Tex membranes, which dole out breathable water protection, as well as insulation to keep your toes warm and lugged soles for staying stable on slippery terrain.
In your quest for a winter sneaker style to call your own, whether a men’s or a women’s version, looks are obviously important to take note of. For instance, you likely don’t want something that’s overly bulky or else swathed in the kinds of primary colors that you’d never catch yourself wearing in context of your everyday steppers. But it’s just as vital to ponder when and under what conditions you see yourself wearing your future purchase. Live in a place that barely gets anything more than rain in February? On’s waterproof running shoes made for trails will be just the thing, equipped with a height-happy midsole that will keep water off its uppers. And if it’s feet of snow we’re talking about, Canada Goose has a set that features rubberized leather wrapping, not to mention a temperature-regulating midsole and extra coverage in high-wear areas.


Below, a dedicated guide to the winter sneakers that are worth shopping this year. Yes, you’ll have to stow most of them away come spring, but your feet will thank you every step of the way in the dead of winter.
Sign up for WWD Shop‘s newsletter to get the scoop on the best in beauty and style with in-depth reviews of exciting new releases and buyer’s guides to find the products you need to try ASAP.

Sorel Callsign Horizon Low GTX Women’s Waterproof Sneaker
$200
Buy Now at sorel
Keeping sleek appearances at its core, Sorel’s Callsign Horizon Low GTX shoe for women also wins big in the functionality department. You’ll find a Gore-Tex membrane here that’s waterproof, windproof, breathable, and thus high-performing — joined by suede and leather on the upper that work to keep the cold away from your feet, too, while helping the sneaker look nothing short of runway-ready. An Ortholite footbed will help you get those steps in sans fatigue, and the model also benefits from a Vibram outsole whose traction is one to trust, even if you find yourself surrounded by ice as you step out in the morning.

Price upon publish date of this article: $200

The North Face Clyffe Mid Insulated Waterproof Shoe
$150
Buy Now at the north face
A shining example of a sneaker-boot hybrid that works, The North Face’s Clyffe is a unisex pick that’s almost completely sold out of sizes — yes, it’s that good. In case you get lucky and score a pair, you can expect perks like a fully waterproof upper and inner membrane, 100 whole grams of insulation, a rubber-wrapped toe for added protection, and a lugged sole fit for surfaces beyond the sidewalk. The skate-inspired shoe is constructed in such a way that it prevents cold air from seeping in and ruining your day. In other words, it checks all of our boxes for winter footwear that can stand up to the test of time (and Mother Nature).

Price upon publish date of this article: $150

Oakley Meridian Low Ext Shoe
$270
Buy Now at oakley
If you’re looking for pure innovation, you’ve come to the right place. Oakley’s freshly arrived Meridian Low Ext Shoe is made to handle the extremes, what with its abrasion-proof polyester underlay, military-quality Vibram outsole, and, the pièce de résistance, a waterproof gaiter that you can pop on and take off with ease — pending the weather that greets you outside. We’ve never seen something quite like this, meaning the instant bestseller won’t stay on e-shelves for too long. Unconvinced to score it just yet? Maybe the fact that the winter sneaker has a speed-maximized lacing system and comes in an attractive green shade (with an all-black option!) will help sway you.

Price upon publish date of this article: $270

Moon Boot Moon247 Xlace Sneaker
$250
Buy Now at revolve man
“Your next style hero has landed,” TikTok-viral brand Moon Boot says of its Moon247 Xlace offering, and we believe it. Relatively low profile, the sneaker’s design codes are versatile (no flashy logos or unnecessary parts here!) while those special features — from the chunky midsole to the thermoplastic rubber tread sole — ensure you can get from Point A to Point B this season without any unfortunate falls. All while turning heads on the street, of course, because style never sleeps.

Price upon publish date of this article: $250

On Cloudvista 2 Waterproof Women’s Sneaker
$180
Buy now at on
The standard Cloudvista 2 model from celeb-approved Swiss brand On is a safe bet for trail running in mild climates; this waterproof iteration, though, is an absolute must for any kind of outdoor activity come winter. The sleek trainers are reimagined with a waterproof membrane to keep water at bay and let your feet breathe, also flaunting perks like a higher stack height, better rocker motion, and more responsiveness. The water-averse Cloudvista 2’s ripstop vamp mesh also pays off in durability and weather resistance, treating those brave of us to run in snow or sleet to more speed, a smoother ride, and comfort during every last mile.

Price upon publish date of this article: $180

adidas Y-3 S-Gendo Trail Shoe
$500
Buy now at adidas
With its Y-3 S-Gendo Trail Shoe, adidas promises an outdoor-focused silhouette that prioritizes lightness, which makes it stand out from bulkier winter boot counterparts. While the upper’s ripstop textile denies entry to bitter winds, the rubber at the toe cap and heel counter rule out those dreaded sleet or salt stains you’re likely intimately familiar with. The stepper’s specialized cushioning will also keep things feeling cozy while that exaggerated midsole helps you rise above unexpected precipitation — looking all the more futuristic thanks to its hollowed-out nature.

Price upon publish date of this article: $500

Nike Zoom Vomero Roam Women’s Winterized Sneaker
$190
Buy now at nike
Nike’s Vomero line was last December’s most-searched-for running franchise, and for good reason. Worn by everyone from Eve to Kendrick Lamar (who actually said “yes” to this exact women’s winterized sneaker), it gets high praise for both performance and aesthetics. As of this winter, you can rock a Vomero silhouette no matter the forecast, courtesy of the upgraded Zoom Vomero Roam that, besides being rapper-vetted, beats back wet weather through its rubber mudguard, multilayered upper, water-repellent finish, and abrasion-resistant sole. Despite being loaded with bells and whistles, the shoe retains inherent stylishness, so you can still wear it with ski pants, baggy jeans, joggers, corp-core pants, and everything in between.

Price upon publish date of this article: $190

Salomon XT-6 Gore-Tex Unisex Shoe
$200
Buy now at salomon
It just might be factually accurate to say that everyone and their mothers is sporting Salomons right about now, but there’s a good chance they’re overlooking the buzzy brand’s winter-specific shoe styles. The XT-6 Gore-Tex bestseller bears its predecessor’s sporty look but ups the ante with a Gore-Tex membrane, specially coated laces, and a seam-sealed construction that won’t have you running to change your socks. Bonus points: There’s no wrong way to style it (yes, the shoe is simply that cool).

Price upon publish date of this article: $200

Hoka x Halfdays Kaha 2 Frost Moc GTX Sneaker
$210
Buy now at revolve
It-girl-approved technical footwear? No, that’s not an oxymoron. This collaboration release from Hoka and Olympian-founded skiwear brand Halfdays is more than just its good looks, though. Crafted with a tight weave on the upper that kicks wear and tear to the curb, the Kaha 2 Frost Moc GTX is also Gore-Tex–equipped, has best-in-class PrimaLoft insulation for uninterrupted warmth, and can be slipped on with ease whenever you feel like going on a lil’ adventure. Simply adjust the fit of that recycled bungee drawcord and go on with your day (that Oat Milk & Spiked Cocoa colorway will make it 10 times better, guaranteed).

Price upon publish date of this article: $210

Canada Goose Women’s Glacier Trail Sneaker
$525
Buy now at canada goose
Canada Goose separates itself from the pack with this waterproof, durable shoe that “transitions effortlessly through rain, snow, and sun,” according to the luxury label. Cocooned in rubberized leather, the Glacier Trail Sneaker is also laminated internally, has a heel stabilizer for extra support, is temperature regulating, and takes special care of its high-wear areas by way of additional overlays. Our favorite part? The hot commodity comes with two lace options, including reflective cord laces and flat ones. Spoiler alert: Both are pampered with a unique hydro treatment that enhances their water resistance. There’s nothing better than a shoe that truly knows you.

Price upon publish date of this article: $525
What to Look for in the Best Winter Sneakers of 2026
Waterproof features: Whether you’re dealing with a light sprinkling of rain or a full-on blizzard, water is part of most winter weather conditions, and you need a sneaker that will effectively stop it from coming into contact with your foot. Staying dry is in your best interests, and you can do so by looking for features like Gore-Tex membranes, protective gaiters, or water-repellent linings-slash-finishes in whatever winter shoe model you have your sights set on. If it lacks “waterproof” somewhere in the product description, you’d be wise to save the purchase for spring.
Traction: Depending on the kind of outsole it has, a shoe is either optimized for traction and grip on multiple terrain types or it isn’t. Prioritize lugged soles or those specifically made by the Italian company Vibram, which were made for mountaineering and now lead the game with their shock absorption, flexibility, and, well, ability to help your feet grip the ground no matter how slippery it is.
Coverage: The goal is, of course, to snag a winterized shoe that’s as close of a visual match to your go-to sneaker as possible (if this wasn’t your goal, you’d be shopping our boots roundup instead). Ample coverage in winter footwear is essential, though, if you’re dealing with lots of snow buildup. That being said, go for a style that’s both streamlined and will make sure your entire foot is sealed in. Even better if it’s slightly raised at the ankle or, like Oakley’s Meridian Low Ext, comes with an optional layer you can attach at will.


Insulation: Being able to adequately warm up your toes even in subzero temperatures, the best winter sneakers benefit from mighty insulation that doesn’t add extra weight to your walk. If you spot the word PrimaLoft, it refers to a patented material initially made for the U.S. Army which not only has superior water resistance but effectively traps heat while moving moisture away from your body. Other types of insulation can do just as good a job of keeping you toasty; sometimes, too, you’ll be privy to just how much insulation a winter sneaker has (measured in grams). Typically, the heavier this weight, the warmer the shoe, but know that even 100 grams will be enough on colder-weather days during which you’re if continuously active, while saving you from overheating.

>>> SEC drops lawsuit against Winklevoss twins’ Gemini crypto exchange

SEC drops lawsuit against Winklevoss twins’ Gemini crypto exchange

The Securities and Exchange Commission has dropped its lawsuit against Gemini, the crypto exchange founded by twins Cameron and Tyler Winklevoss.

The Winklevoss twins were donors to Donald Trump’s re-election campaign and also backed his family’s business ventures.

In a joint filing on Friday, the SEC and Gemini asked the court to dismiss the lawsuit, which centered on the collapse of an investment product called Gemini Earn, with some investors losing access to their money for 18 months.

New York Attorney General Letitia James sued Gemini in 2023 and accused the company of defrauding investors. To justify dismissing the SEC’s case, the new filing points to a 2024 settlement between New York and Gemini, with investors ultimately receiving “one hundred percent of the crypto assets they had loaned […] through the Gemini Earn program.”

This appears to be a larger pattern of leniency from the Trump administration towards the crypto industry. The New York Times previously reported that the SEC has either dismissed, paused, or reduced penalties in more than 60 percent of the crypto lawsuits pending when Trump took office last year.

9to5 : As confusion reigns over Jony Ive’s iO device, I remain an AI hardware sk

As confusion reigns over Jony Ive’s iO device, I remain an AI hardware skeptic

AI hardware has been in the news this week, with the Apple pin report getting most of the headlines. But there was also a new claim about OpenAI’s upcoming AI hardware device under iO branding.

It’s more than eight months since former Apple design chief Jony Ive and OpenAI CEO Sam Altman teased it, and we’re still no closer to knowing its form factor. The latest report doesn’t exactly help, appearing to contradict what the pair have already said …

Jony Ive’s iO device
In May of last year, Ive and Altman released what I described at the time as a strong candidate for most frustrating video of the year. The pair promised a completely new concept in AI hardware, but gave very little clue as to what that might be.

“Jony recently gave me one of the prototypes of the device for the first time to take home, and I’ve been able to live with it—and I think it is the coolest piece of technology that the world will have ever seen.”

Mostly, all I was able to piece together from the various clues was what it is (probably) not

The only form factor that has so far made any sense to me is smart glasses, but Altman has specifically said that io is not a pair of glasses, while both have also made it clear that it’s not a phone. The pair strongly imply it’s a form factor we haven’t yet seen, which would seem to rule out a badge, a smartwatch, a smart ring, or in-ear headphones.

It was also made clear that it either doesn’t have a screen or at least that the screen is not the main way we interact with it. It was a 9to5Mac reader who suggested that it might be a pen, and that theory did strike me as having a lot going for it.

AirPods confusion
Things got a little more confusing this week when a Weibo blogger suggested that it would comprise “two pill-shaped gadgets that rest behind the ear,” and that it was intended to be used instead of AirPods.

Hearing fresh detail on Openai “To-go” hardware project from last report. Now confirmed it is a special audio product to replace Airpod […] There are two pills that are removed and rest behind the ear.

This was picked up by a number of sites, despite the fact that it clearly appears to contradict the little that OpenAI has said about it.

I remain cautiously skeptical
It’s been two years since two separate companies made high-profile attempts to launch AI hardware devices, the Humane AI Pin and the Rabbit R1. Predictably, both were abject failures.

I said at the time that trying to sell AI hardware today is like inventing the iPod after the iPhone.

Much as I still love the iPod concept, to me it no longer makes sense to carry a dedicated chunk of hardware just to play all the music I own, when I can instead use the device which is already in my pocket to play (almost) all the music in the world, whether or not I own it.

It’s the same thing with AI hardware today. If smartphones didn’t exist, these devices would be enormously exciting, and I’d want one, despite their current limitations. But smartphones do exist, and I can’t see a single reason why these devices aren’t simply apps.

I’ve acknowledged that it would be brave to bet against Ive and Altman given their respective track records. If anyone could pull off something so seemingly unlikely, it would be that combination of hardware and software expertise.

But as cautious as I try to be in dismissing the idea, I still really struggle to see a role for such a device. A pen does strike me as the least-worst form factor, since a lot of people carry one anyway, and for the rest of us it would be a pretty painless thing to slip into a pocket. But that still leaves the question of why would we add a piece of hardware when everyone already has a smartphone on them?

It also doesn’t address the enormous privacy issues I discussed in yesterday’s piece about the alleged Apple pin. Sure, OpenAI cares much less about this than Apple does, but it’s still a huge barrier to adoption.

It seems to me the entire selling point of such devices is that they are always on, with all of the privacy issues involved. If they are not always on, and we have to manually activate them, then that again raises the question of why we don’t just use our smartphone.

I mean, I’m sure it will be beautiful, perhaps even sufficiently so that I will lust after it. Heck, I feel that way about the stock photo of the fountain pen at the top of this piece and about technology like the reMarkable Paper Pro, despite the fact that I haven’t handwritten anything more than my signature for a good decade or two.

But whatever aesthetic appeal the device may have for me, I will be very surprised indeed if I end up buying one – and no less surprised if a significant number of other people do. What say you?

NYT : U.S. Automakers’ Foreign Troubles Now Extend to Canada

U.S. Automakers’ Foreign Troubles Now Extend to Canada
U.S. trade policy has devastated the Canadian auto industry and pushed the country to reach an agreement that will make it easier for Chinese companies to sell cars there.

Canada’s decision this month to give Chinese carmakers a toehold in the country’s car market may be an ominous development for U.S. automakers that are already struggling to stay relevant outside North America.

General Motors and Ford Motor — the two largest U.S.-based car manufacturers — have been steadily losing customers in Asia, Europe and Latin America, as Chinese carmakers have gained ground. Now Canada plans to lower tariffs on a limited number of Chinese-made vehicles, potentially giving companies like BYD, SAIC or Geely a small but significant presence on the United States’ northern border after already building a thriving business in Mexico and much of Latin America.

If they lose significant ground to Chinese companies in Canada, Mexico and other countries where they once dominated, Ford and G.M. could gradually become niche manufacturers, said Erik Gordon, a professor at the Ross School of Business at the University of Michigan. They will end up primarily making and selling large pickup trucks and sport-utility vehicles favored by many Americans but that tend to sell less well in much of the rest of the world.

“There’s a real danger that the market for U.S. carmakers is going to largely to be the U.S., and only that part of the U.S. market that wants big S.U.V.s and trucks,” Mr. Gordon said.

The number of Chinese vehicles eligible for low tariffs in Canada will be small — less than 3 percent of the Canadian car market. Still, “it is very symbolic and significant to the industry,” said Lenny LaRocca, who leads the auto industry practice at the consulting firm KPMG. The U.S. automakers, he said, “are taking it very seriously.”

The deal with China, which was announced Jan. 16 in Beijing by Prime Minister Mark Carney of Canada, was the latest example of how President Trump’s policies have disrupted the U.S. auto industry. His hostile rhetoric toward Canada and 25 percent tariffs on cars imported from Canada have devastated the Canadian auto industry, which is highly intertwined with U.S. automakers and parts suppliers.

Last year G.M. ended production of an electric van at a factory in Ingersoll, Ontario, after Republicans in Congress ended tax credits for buyers of electric vehicles, undercutting demand. G.M. is cutting a shift at a pickup factory in Oshawa, Ontario, at the end of this month. Stellantis abandoned a plan that had been subsidized by the Canadian government to produce a Jeep model at a factory in Brampton, Ontario, and moved production to Illinois.

Canada has had little choice but to move closer to China, said Mike Murphy, a veteran Republican political consultant and co-founder of EVs for All America, an organization that promotes electric vehicle ownership. The president’s trade policies “pushed them into a corner and the corner is Beijing,” Mr. Murphy said.

Chinese electric cars are effectively barred from the United States by 100 percent tariffs. Canada imposes roughly the same tariff, but plans to lower it to 6.1 percent for 49,000 Chinese-made cars per year. In return, China agreed to lower tariffs on Canadian canola products.

Many of the Chinese cars arriving in Canada might be Teslas made in Shanghai, where the company has a large factory. Chinese brands like BYD that are new to Canada would face a safety approval process that could take more than a year.

Still, Canadian buyers might eventually get a glimpse of cars like the Xiaomi SU7, a sporty sedan that has earned grudging admiration from established Western manufacturers. The car exemplifies the styling and technology that has allowed Chinese models to sell a growing number of vehicles in Asia, Europe and Latin America.

Mr. Carney also announced that China would make a “considerable investment into Canada’s auto sector” within three years, suggesting that Chinese companies would ultimately manufacture cars in the country.

Americans already encounter Chinese models on trips to Mexico and will soon begin to see them on visits to Canada or when Canadians drive them across the border. It may become increasingly difficult for U.S. policymakers to explain to Americans why they can’t buy the same attractively priced Chinese electric vehicles available to Canadians and Mexicans.

“I don’t think people like being left out of cool technology,” said Albert Gore III, executive director of the Zero Emission Transportation Association and the son of the former Democratic vice president.

Mr. Gore said Republican policies have undercut efforts to create an electric vehicle supply chain independent of China. Canada has significant deposits of lithium and other critical materials.

“We’ve pushed one of our closest allies, diplomatic and trade allies, into a deeper and more robust trade relationship with China,” Mr. Gore said.

Mr. Trump’s commerce secretary, Howard Lutnick, criticized Canada’s deal with China and said it could affect the North American trade agreement that the United States, Canada and Mexico are planning to renegotiate.

“They are playing with a set of rules that they haven’t really thought through,” Mr. Lutnick said in an interview with Bloomberg at the World Economic Forum in Davos.

In a recent visit to Detroit, Mr. Trump claimed credit for reviving the American auto industry and said that the United States did not need cars made in Canada or Mexico.

Ford declined to comment on Canada’s deal with China. G.M. referred to a joint statement by the American Automotive Policy Council and the Canadian Vehicle Manufacturers’ Association, two groups that lobby on behalf of Ford, G.M., and Stellantis, which also owns Ram and Chrysler.

The decision to let in Chinese cars “has the potential to undermine Canada’s auto sector and presents risks to the future of the integrated North American auto supply chain,” the organizations’ statement said. Doug Ford, the premier of Ontario, home to many Canadian auto factories, has also objected to Mr. Carney’s agreement with China.

Flavio Volpe, president of the Canadian Automotive Parts Manufacturers’ Association, said that the deal exposes the industry to Chinese manufacturers that sell at artificially low prices made possible by government subsidies.

“Chinese cars are cheaper for a reason,” he said. “All of those reasons are available only to the Chinese.”

Canada could serve as a valuable test market for Chinese automakers, giving them an opportunity to learn about North American preferences. Canadians are fonder of small cars than Americans, while also buying lots of pickup trucks and S.U.V.s. But electric vehicles are growing in popularity.

“Although E.V.s are not a big deal today, they are going to be the big deal,” said Mr. Gordon, the Michigan professor. “China is probably ahead of the U.S. in E.V. technology and ahead of the U.S. in electric vehicle manufacturing.”

Ford and G.M. scaled back plans to develop electric vehicles after the elimination of tax credits and other clean energy incentives. Ford, for example, canceled production of the F-150 Lightning even though it was the best-selling electric pickup last year, according to estimates by Cox Automotive.

Mr. Trump’s plans to cut emissions standards have also encouraged automakers to sell more gasoline pickups and S.U.V.s that earn the most profit. But those kinds of vehicles sell poorly in Asian and European countries with relatively high fuel prices.

The overseas operations of U.S. automakers have been shrinking for years. G.M. sold its Opel unit in Europe in 2017 to Peugeot, which later merged with Fiat Chrysler to become Stellantis. Sales outside of the United States, Canada and Mexico accounted for only 8 percent of G.M.’s revenue in the third quarter.

Ford remains a leading car brand in a few countries like Britain and Australia, but it has lost a lot of ground in Europe. The company had 3 percent of the European Union market last year, down from 5 percent in 2020, according to the European Automobile Manufacturers’ Association. Last year Ford closed a factory in Saarlouis, Germany, a city near the French border.

Chinese carmakers have been gaining customers in the places that Ford and G.M. are losing them. BYD tripled its share of car sales in Europe last year to almost 2 percent, surpassing Tesla, according to the manufacturers’ association.

But some analysts said that losing sales in foreign markets, while unappealing, might not amount to a big financial loss for U.S. automakers. That’s because it was already hard for the companies to make money in many countries because they are competing for customers against a lot of other manufacturers, including the Chinese.

Lately, the U.S. automakers’ best opportunities for growth are in new businesses like self-driving taxis or financial services, said Mr. LaRocca of KPMG. Ford provided an example last month when the company said it plans to begin manufacturing large batteries that can be used to store renewable energy.

“The U.S. auto market is the most profitable auto market,” he said. “Outside of the U.S. it’s very difficult.”

But industry experts say the U.S. carmakers are not moving fast enough to respond to Chinese competition. During the last decade 50 percent of the patents in automotive technology were filed by Chinese firms, according to research by Greig Mordue, a former Toyota executive who is a professor at McMaster University near Toronto.

“You can ignore it for a while,” Mr. Mordue said of Chinese competition, “but ultimately you will get engulfed.”