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Nvidia bets physical AI can solve healthcare robotics’ data problem

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physical AI healthcare robotics

The data bottleneck in surgical robotics

Building a robot that can safely navigate a human body is fundamentally different from training a large language model. A language model learns from text. A surgical robot has to learn from physical experience — the give of tissue, the resistance of a calcified artery, the precise amount of force needed to manipulate a catheter without causing damage.

That kind of embodied learning normally requires thousands of hours of real clinical procedures. But in healthcare, physical bodies are scarce, tightly regulated, and slow to generate the edge cases a robot actually needs to see. A kidney stone lodged at an unusual angle or a guidewire catching on a vessel wall might only appear in a fraction of cases. Waiting for them to happen in an operating theatre is not a viable training strategy.

Nvidia thinks it has a solution. The company’s new Medical Physics Simulation framework, announced as an open-source addition to its Nvidia Isaac for Healthcare platform, treats surgical robots as physical AI systems. The idea: generate the embodied experience computationally, at scale, before a scalpel ever touches a patient.

How the framework works: classical physics meets generative AI

The framework combines two modelling approaches. Classical physics simulation handles the mechanical rules that are already well understood — how a catheter bends, how much resistance a vessel wall applies, how contact forces shift as an instrument moves through tissue.

Generative AI handles what’s harder to hand-code: visual scene dynamics learned from procedural data. That part comes through a component Nvidia calls Cosmos-H Dreams.

Together, they form what the company calls a physical AI proposition. Classical simulation gives a robot policy the physics it must obey. Generative simulation gives it the range of visual and anatomical variation it needs to generalise. Run at scale on GPUs using Nvidia’s Warp and Newton libraries, the framework can execute thousands of parallel training environments instead of one scene at a time.

Nvidia claims a benchmark running 8,192 parallel environments cut training time from over five hours to under two minutes. But that measures throughput, not clinical reliability. It says nothing about how a policy trained this way performs against incomplete imaging, delayed sensor readings, or anatomy that falls outside anything the simulation modelled.

A language model that underperforms on an edge case produces a bad answer. A physical AI system that underperforms on an edge case is operating inside a patient. The parallel-simulation approach is a real advance in how fast developers can explore failure modes. Whether those simulated failure modes match what actually goes wrong in a surgical suite is a separate question — one none of the early adopters has published answers to yet.

Who is testing the approach — and how far along they really are

The organisations Nvidia names as early adopters are applying the physical AI approach at different depths. The list is worth reading with that in mind rather than treating it as a uniform roster of deployments.

CMR Surgical and Cambridge Consultants, the Capgemini-owned engineering firm, have gone furthest on the data side. CMR has contributed close to 500 hours of anonymised clinical data from its Versius Surgical Robotic System to the Open-H Embodiment dataset. The data spans cholecystectomy, prostatectomy, hernia repair and hysterectomy procedures. The pair are using Cosmos-H Dreams to model soft-tissue interaction physics and produce patient-specific simulations.

“Open-source models allow us to build on shared knowledge, accelerating responsible innovation and, ultimately, gives us the potential to deliver more consistent care and better outcomes for patients worldwide,” said Chris Fryer, CTO at CMR Surgical.

Johnson & Johnson MedTech is using the framework alongside a Cosmos-based foundation model to build a digital twin of its endoluminal MONARCH platform, focused on kidney-stone scenarios in urology.

XCath is applying it to endovascular autonomy policy training — teaching a system the physical behaviour of navigating blood vessels without a human hand on the controls. Inner Logic is generating synthetic data to validate device mechanics and says it intends to produce in silico evidence to support regulatory submissions. No submission built on that evidence has been confirmed publicly.

Medtronic Structural Heart sits earliest in the group, exploring simulated X-ray sensing for catheter navigation research.

Each of these is a training exercise or dataset contribution. None is a deployed system operating on a patient with policies learned this way. Nvidia doesn’t claim otherwise.

Why open source matters for physical AI in healthcare

Healthcare robotics carries a governance requirement most physical AI applications — including industrial and warehouse robots — don’t face to the same degree. Regulators and clinical review boards need to see how a system arrived at its behaviour, not just confirm the behaviour looked acceptable in testing.

An open-source framework lets developers inspect the physics assumptions inside the simulation, reproduce results across different anatomies, and build an evidence trail suited to a submission before the FDA or an equivalent body.

That’s a stronger argument for openness in physical AI than it is in most software categories, where a closed vendor pipeline hides the assumptions a team would otherwise need to defend to a regulator. It doesn’t settle the validation question on its own. Open code lets outside reviewers check the model’s logic, but it doesn’t confirm the model’s physical behaviour matches what happens in a body. That confirmation still has to come from testing that none of these companies has published yet.

The road ahead: simulation as infrastructure, not replacement

Nvidia has built infrastructure that could shorten the pre-hardware phase of physical AI development for surgical and diagnostic robots. Running training at this scale in parallel is a departure from rebuilding a custom simulation scene for every workflow. For teams that previously spent months gathering enough clinical data to train a single policy, the ability to generate thousands of parallel training environments on demand is a real shift.

But simulation remains a tool for exploration, not a substitute for clinical validation. The companies testing Nvidia’s framework are still early in the process. None has published results showing a policy trained entirely in simulation performing reliably on real patients. The gap between simulated failure modes and real surgical complications is the gap that will determine whether this approach delivers on its promise.

For now, Nvidia has given the healthcare robotics community a faster way to ask better questions. The answers will take longer to arrive.

For more on how simulation is reshaping medical training and device development, see AI in drug discovery and healthcare robotics trends.

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XDOF, three months out of stealth, is already closing in on a $1.2B Series B

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XDOF Series B

From stealth to unicorn talk in record time

Three months. That’s how long XDOF has been out in the open. And already, the robotics data startup is in late-stage conversations to raise a Series B at a valuation hovering around $1.2 billion, according to multiple sources familiar with the negotiations. The round would be led by 8VC.

Not bad for a company that didn’t even exist publicly until June.

XDOF was co-founded in 2024 by UC Berkeley researchers Philipp Wu (CEO) and Fred Shentu (CTO). Their origin story traces back to a research project called GELLO — a low-cost teleoperation system that lets a human operator control a robotic arm from a distance. The goal? Generate training data for robots. That work produced an influential paper in robotics and, eventually, a company.

The startup’s Series A, a $70 million round announced in June, drew participation from Thrive Capital, Andreessen Horowitz, Lux, and Spark Capital. At the time, XDOF wasn’t planning to raise again so soon. But the market had other ideas.

Why investors are knocking on XDOF’s door

The reason for the sudden interest? Growth. Real, measurable growth.

XDOF’s annualized revenue is approaching $50 million, sources say. That kind of traction, so soon after a Series A, tends to make venture capitalists sit up and take notice. It also tends to make them pick up the phone.

“They weren’t out raising,” one person familiar with the situation told TechCrunch. “The VCs came to them.”

Terms aren’t final, and the total capital being raised remains unclear. TechCrunch couldn’t confirm whether the $1.2 billion valuation includes the new funding or sits on top of it. Both XDOF and 8VC declined to comment.

The Scale AI for physical robots

XDOF’s pitch is straightforward: it builds the data pipelines, collection tools, and annotation systems that frontier AI labs and robotics companies would rather not build themselves. Think of it as an outsourced data-supply chain for the robotics industry.

Investors describe XDOF as the Scale AI or Mercor of physical robotics — a nod to the data-labeling giants that powered the AI boom. The comparison makes sense. Large language models trained on the entire internet. Physical robots? They don’t have that luxury. There’s no massive, ready-made dataset of real-world robot interactions sitting online. That scarcity makes data collection the critical bottleneck on the road to general-purpose machines.

Wu felt that bottleneck firsthand as a PhD student. His research on how robots learn from large datasets kept hitting the same wall: “large-scale data to work with” simply didn’t exist, he told TechCrunch in June.

Building the ABC dataset

XDOF is tackling that problem head-on. The startup is partnering with UC Berkeley’s AI Research lab to release what it believes is the largest collection of high-quality robot training data ever assembled. The dataset is called ABC.

Collecting that data requires a hybrid approach. XDOF combines remote robot teleoperation with human collectors who wear sensors to record everyday tasks. Think folding clothes. Flattening boxes. The mundane, physical chores that robots still struggle to master.

The company plans to hire and train teams of data collectors around the world. Two main roles are emerging:

  • Teleoperators who steer robots remotely to demonstrate tasks
  • Egocentric operators who wear body sensors to capture natural movement data

Early traction and the competitive landscape

XDOF has already signed up 20 customers, including several frontier AI labs, according to previous statements to TechCrunch. That customer base, combined with the revenue trajectory, helps explain the valuation chatter.

But XDOF isn’t alone in this niche. Other startups chasing real-world data for robot training include Mecka AI. And the human-data platforms that started with LLMs — like Scale AI and Micro1 — are expanding beyond text and images into physical domains.

The race to build the data infrastructure for physical AI is heating up. Whoever wins it will effectively control the fuel supply for the next generation of robots. That’s a position worth paying up for.

Whether the $1.2 billion valuation holds remains to be seen. Deals at this stage can shift. But the fact that XDOF is even in this conversation — three months after emerging from stealth — says something about the demand for what it’s building.

For more on how data is shaping the future of AI, check out AI data labeling trends and robotics funding rounds in 2024.

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New York City Pulls AI From Younger Classrooms—Here’s Why It Matters

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New York City Just Hit Pause on AI in Classrooms

New York City Public Schools is drawing a hard line: no generative AI for students from 2-K through eighth grade during the 2026-2027 school year. That’s over half a million kids walking into classrooms next week without access to AI-powered tools.

The district says it will remove software with student-facing AI features and block AI companion chatbots. High schoolers? They’re exempt. This isn’t a blanket ban—it’s a targeted move to decide when kids should actually start using the technology.

Mayor Zohran Mamdani put it bluntly: “The tech industry wants us to believe that AI-powered early education is not only inevitable, but necessary. We do not see it that way.”

Why NYC Is Worried About AI for Younger Students

The fear isn’t just that a kid will ask ChatGPT to write an essay. City officials want younger students to build core skills—critical thinking, creativity, communication—without leaning on AI as a crutch. They’re also pushing for stronger human connections in classrooms, not another screen.

Schools Chancellor Kamar Samuels said the city refuses to assume that innovation automatically equals more technology in front of students. It’s a deliberate slowdown, and it follows last year’s bell-to-bell cellphone ban that already limits device use during school hours.

What Happens When Kids Reach High School?

AI doesn’t vanish once students hit ninth grade. Instead, the district plans to roll out AI literacy classes twice a year. The goal? Teach teenagers how to think critically about the technology before they become dependent on it.

That’s a different approach from just saying no. It’s about timing—letting younger minds develop without AI, then giving older students the tools to question it.

The National Battle Over AI in Education

NYC’s decision sits at the center of a much bigger fight. The White House has pushed educators to embrace AI responsibly. Some teachers already use it to craft lesson plans, give feedback, or break down tough subjects. But not everyone’s on board.

The Department of Health and Human Services recently gathered childhood experts to talk about excessive screen time. Officials have also called for tougher safeguards around social media and AI. The message? Kids are spending too much time in front of screens, and AI might make it worse.

A Bold Experiment With Zero AI

Here’s what makes NYC’s move so interesting: instead of asking how much AI younger students should use, the largest school district in the country is starting with none. For one academic year, they’re testing whether classrooms are better off with AI kept outside the door.

That’s a radical stance, and it’s not without critics. Some educators argue AI can personalize learning or help struggling students catch up. But NYC is betting that a year without AI will reveal what kids actually need—not what tech companies think they need.

What This Means for Parents and Teachers

If you’re a parent in NYC, expect changes. AI-based apps may disappear from your child’s school day. Teachers will need to plan lessons without generative AI tools. And students in grades 2-K through 8 will rely more on traditional methods—paper, pencils, and human interaction.

For teachers elsewhere, this could be a signal. NYC is the biggest district to take this stance, and its findings could shape policies nationwide. The next year will be watched closely by educators, policymakers, and tech giants alike.

What Happens Next?

The district will spend the year studying how generative AI affects students before deciding what comes next. That research could lead to a permanent ban, a partial rollout, or something entirely different.

For now, NYC is making a statement: childhood shouldn’t be an AI beta test. Whether that’s the right call or a step backward, we’ll know more in 2027. Until then, the debate over AI in schools just got a lot more interesting.

If you’re curious about how AI is shaping other areas, check out our take on AI in education trends or classroom technology policies.

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Meta’s Muse Spark 1.3 takes on GPT-5.6 and Claude — but can it really win?

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Muse Spark 1.3

Meta just fired a serious shot in the AI arms race

The company quietly unleashed Muse Spark 1.3, its most advanced AI model to date, and it’s aiming straight at the top dogs. Developers can already access and pay for the update, which Meta says represents a massive leap forward in performance.

It won’t stay confined to the developer sandbox for long. Over the coming weeks, the model will roll out across Instagram, Facebook, and the Meta AI assistant — putting it in front of billions of everyday users.

What makes Muse Spark 1.3 actually different?

Meta’s Chief AI Officer, Alexandr Wang, didn’t mince words. He called this “the biggest jump so far on model performance,” pointing to serious gains in two areas: coding and agentic tasks — the kind where the AI acts on your behalf rather than just answering questions.

But here’s the catch. Wang told Bloomberg that Muse Spark 1.3 is competitive with Anthropic’s Claude Fable 5.1 and even beats OpenAI’s GPT-5.6 Sol at coding. That’s a bold claim, especially with OpenAI’s upcoming Astra model lurking in the wings.

Take those comparisons with a grain of salt, though. Benchmarks can be gamed, and a model that crushes one test might stumble on a totally different task. Real-world performance is what actually matters.

Efficiency gains under the hood

Wang broke down a few upgrades that set Muse Spark 1.3 apart:

  • 25% fewer tokens needed to complete the same job — meaning lower costs and faster responses
  • Multi-workflow handling — it can juggle several tasks at once instead of forcing separate sessions
  • Better context retention across long, complicated instructions
  • Self-awareness of limits — the model now pauses to ask for clarification before taking any irreversible action

That last point is quietly important. AI that knows when it doesn’t know is a big step toward trustworthiness, especially for agentic use cases.

Pricing stays flat, adoption explodes

Here’s something developers will appreciate: Meta isn’t raising prices. Muse Spark 1.3 costs the same as its predecessor, Muse Spark 1.2. That’s a smart move when rivals are hiking rates.

Wang told Bloomberg that adoption on Meta’s developer platform has been strong — some users are burning through trillions of tokens every week. Those numbers suggest real usage, not just hype.

What about open-source fans? Meta hasn’t decided whether it will release the model’s weights — the blueprint that lets outside developers build on top of it. The older Muse Spark 1.2 weights are still headed for release, but the new model’s future remains unclear.

The bigger picture: Meta’s spending spree continues

Meta is still pouring billions into AI infrastructure, and Muse Spark 1.3 is the clearest signal yet that the company believes it’s closing the gap with OpenAI and Anthropic. Whether that’s true or just corporate bravado will play out in the benchmarks and real-world deployments over the coming months.

For now, the model is available to developers, and the app rollout is imminent. If you’re building on Meta AI tools, this update is worth a serious look. And if you’re just a curious user, you’ll likely meet Muse Spark 1.3 in your Instagram feed sooner than you think.

One thing’s certain: the AI race just got a lot more interesting.

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