Welcome to AI Unraveled (January 02nd, 2026): Your strategic briefing on the business, technology, and policy reshaping artificial intelligence.

We kick off 2026 with a major technical breakthrough from China, a philosophical pivot from Instagram, and a rare bipartisan alliance against the AI industry’s physical footprint.

Strategic Pillars & Key Topics:

🛠️ Technical Breakthroughs

• DeepSeek's "mHC" Revolution: DeepSeek has published a new paper on "Manifold-Constrained Hyper-Connections" (mHC). This fundamental shift in Transformer architecture addresses training instability and scalability limits, potentially previewing massive efficiency gains for their next model generation. Tests show improved reasoning on 3B-27B parameter models.