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Character AI Tests New Games to Boost User Engagement

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Character AI Tests New Games to Boost User Engagement

Character AI, a platform that lets users interact with AI-powered characters, is testing games on its desktop and mobile web apps to enhance user engagement.

The games are available to paid subscribers and a select group of free-plan users. For this initial rollout, Character AI has introduced two games: Speakeasy and War of Words.

To access the games, users can select any character they are chatting with and click the new controller icon. The app prompts users to start a separate chat for the game to preserve their ongoing conversations with the character.

In Speakeasy, players aim to get the chatbot to say a specific word without using five restricted words. For example, they might try to make the bot say “croissant” without mentioning “pastry,” “butter,” “bake,” “French,” or “flaky.”

In War of Words, users engage in a verbal duel with the character. An AI referee evaluates each round, with the competition spanning five rounds.

The company sees these games as a way to make the platform more entertaining. “Our goal as an AI entertainment company is to enhance the Character AI experience by making it more fun and immersive. This feature allows users to play games with their favorite characters while preserving the experience they enjoy,” a spokesperson said.

Users have already created their own text-based games, such as the Space Adventure Game. However, Character AI aims to expand its offerings by developing in-house games.

The company has recently undergone leadership changes. Co-founders Noam Shazeer and Daniel De Freitas departed for Google, while a former YouTube executive joined as Chief Product Officer. Dominic Perella, previously the company’s General Counsel, is now serving as interim CEO.

In an interview with TechCrunch in December, Perella emphasized that Character AI is focused on building a platform for entertainment rather than creating AI companions. “We want to create a wholesome entertainment platform where people can craft and share stories. To achieve this, we are continuously evolving our safety practices to the highest standards,” he explained.

The introduction of games aligns with strategies employed by platforms like YouTube, LinkedIn, and Netflix to boost user engagement. According to Sensor Tower, Character AI users already spend an average of 98 minutes per day on the app, and the addition of games could further increase this figure.

Last year, Character AI implemented new safety measures for teens, including clearer labels indicating that AI characters are not real people and a time-out notification for users who spend over 60 consecutive minutes on the app. These changes followed multiple lawsuits involving the company.

With the introduction of games, Character AI is taking another step toward cementing its position as a leading AI-driven entertainment platform.

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Zomato Evolves into Eternal: Redefining the Future of Digital Commerce

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Zomato Evolves into Eternal: Redefining the Future of Digital Commerce

Zomato, one of India’s leading food delivery and quick-commerce platforms, has officially rebranded as Eternal. The transformation reflects the company’s growing ambitions beyond food delivery, encompassing various business verticals, including grocery delivery, live events, and restaurant supplies. The rebranding marks a major shift in Zomato’s corporate identity, aligning with its vision of building businesses that last “beyond a lifetime.”

Why the Rebranding?

Founder and CEO Deepinder Goyal explained that the decision to rename the parent company was driven by the rapid growth of Blinkit, Zomato’s quick-commerce arm. Initially met with skepticism when Zomato acquired Blinkit in 2022, the business has since become a key driver of the company’s future.

“We thought of publicly renaming the company when something beyond Zomato became a significant driver of our future. Today, with Blinkit, I feel we are here,” Goyal stated.

What Changes Under Eternal?

The name Eternal will now serve as the parent brand for Zomato’s four major business units:

  1. Zomato – The core food delivery business.
  2. Blinkit – A quick-commerce service for grocery and essential deliveries.
  3. Hyperpure – A B2B platform supplying restaurants with kitchen essentials.
  4. Zomato Live (District) – A live events platform.

While the company’s corporate identity is changing, the Zomato app and branding for food delivery will remain the same. Customers will still order from the Zomato app, and Blinkit will continue to operate under its own branding.

Significance of the Name ‘Eternal’

The word Eternal symbolizes longevity and endurance, reinforcing the company’s ambition to build businesses that last beyond generations. This philosophy reflects Zomato’s long-term commitment to innovation and expansion in the digital commerce space.

Goyal had previously mentioned the Eternal name as an internal identity in 2022 but clarified that it would not replace the Zomato brand. However, with Blinkit’s massive growth and the company’s evolving focus, the name has now been publicly embraced.

Market Impact and Future Outlook

The rebranding positions Eternal as a diversified technology company rather than just a food delivery platform. The move comes at a time when quick-commerce is becoming a dominant force in India, with competitors like Swiggy Instamart, Reliance JioMart, Amazon Fresh, and Walmart-backed Flipkart entering the space.

Eternal’s strategy will likely focus on:

  • Expanding Blinkit’s footprint across India.
  • Strengthening its supply chain for Hyperpure.
  • Growing Zomato Live as a major player in the events space.
  • Continuing innovation in food delivery services.

The transition from Zomato to Eternal represents a bold step in the company’s journey, signaling a future beyond food delivery. With Blinkit’s rise, Zomato’s leadership in restaurant supplies, and its growing events business, the rebranding aligns with its ambition to create a multi-dimensional commerce platform.

As Eternal, the company aims to shape the future of digital commerce in India, staying true to its mission of building businesses that stand the test of time.

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U.S. AI Startups Eye New Opportunities Amid DeepSeek’s Rise

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U.S. AI Startups Eye New Opportunities Amid DeepSeek's Rise

Just last week, OpenAI was seen as the undisputed leader in artificial intelligence, with its cutting-edge models driving a soaring valuation. This week, however, its dominance is being questioned as Silicon Valley shifts its focus to a more cost-effective competitor: DeepSeek.

The Chinese company recently launched R1, a challenger to OpenAI’s o1 reasoning model. Early testers claim R1 matches o1’s capabilities while being significantly cheaper to operate. The announcement sent shockwaves through the market, triggering a massive stock sell-off on Monday that erased nearly $1 trillion in market value.

DeepSeek’s Disruptive Impact

Industry insiders believe DeepSeek’s approach could reshape the AI landscape. Unlike OpenAI, which focuses on Artificial General Intelligence (AGI) through increasingly complex models, DeepSeek emphasizes efficient, application-driven AI that is more accessible and cost-effective.

Roi Ginat, CEO of EndlessAI, sees this as a breakthrough for startups and smaller players.

“DeepSeek’s success represents a democratization of AI development, where smaller teams with limited resources can meaningfully compete with well-funded tech giants,” Ginat told Business Insider.

While OpenAI remains a major force, its role in the industry could shift. The competition between expansive, high-cost AI models and streamlined, purpose-built AI systems is fueling innovation on both fronts.

Cost Efficiency vs. AI Infrastructure Investments

DeepSeek’s biggest advantage is cost efficiency. If it truly reduces AI training and inference costs by tenfold, as some claim, it could accelerate AI adoption far beyond current analyst predictions. However, Pukar Hamal, CEO of SecurityPal, warns against expecting immediate disruptions.

“It’ll take more than a few tough earnings calls to make the biggest AI players reconsider the staggering GPU investments we’re seeing for 2025,” Hamal said.

Major tech firms are doubling down on AI infrastructure. Meta has committed $60 billion to AI investments, while former President Donald Trump recently announced Stargate, a $500 billion joint venture between OpenAI, Oracle, and SoftBank to expand AI capabilities across the U.S.

The Open-Source Debate: DeepSeek vs. OpenAI

A key distinction between OpenAI and DeepSeek lies in open-source accessibility. OpenAI keeps its models closed for safety and security reasons, while DeepSeek’s AI is open-source, allowing public access and modification.

Satya Nitta, CEO of Emergence AI, sees this as a significant advantage for DeepSeek.

“DeepSeek R1 broadens access to AI reasoning, highlights the power of open-source, and sets a new benchmark for AI capabilities,” he said.

However, open-source models also raise regulatory concerns. Hamal cautioned that unchecked AI development could lead to security risks, drawing parallels to the U.S. government’s scrutiny of TikTok. White House advisor David Sacks further fueled controversy by suggesting that DeepSeek may have trained its model using OpenAI’s data, a claim that could spark legal challenges.

Despite these concerns, Hamal believes the market is shifting toward openness.

“Openness typically wins in the long run. If DeepSeek forces a reset in the increasingly closed foundational model market, it could be a net positive—provided we maintain the right guardrails.”

AI Innovation: Doing More with Less

If there’s one major takeaway from DeepSeek’s rise, it’s that AI models can be developed more efficiently and affordably.

Matthew Putman, CEO of Nanotronics, sees this moment as a validation of a broader trend.

“To me, the competition itself is less significant than the realization that AI can be built at lower costs and applied beyond just large language models.”

As the AI landscape evolves, the battle between expensive, high-power AI and cost-efficient, open-source alternatives is only beginning. Whether DeepSeek emerges as a true OpenAI rival or simply pushes the industry toward greater accessibility, its impact is already undeniable.

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Budget 2025 Highlights: Major Tax Relief for Middle-Class with Zero Tax on Income Up to ₹12.75 Lakh

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Budget 2025 Highlights: Major Tax Relief for Middle-Class with Zero Tax on Income Up to ₹12.75 Lakh

Union Finance Minister Nirmala Sitharaman presented the Union Budget 2025 in the Lok Sabha on February 1, her eighth consecutive budget announcement. The budget introduced significant reforms to provide relief to the middle class, simplify the tax structure, and boost economic growth. One of the most prominent announcements was the exemption from income tax for individuals with income up to Rs 12.75 lakh under the new tax regime, along with several other measures to reduce the tax burden.

Important changes in income tax in Budget 2025:

Under the new tax regime, Finance Minister Nirmala Sitharaman has proposed a zero income tax for people with annual income up to Rs 12 lakh. The revised tax brackets and rates are as follows:

SalaryIncome Tax Rates
₹0-4 lakhNil
₹4-5 lakh5%
₹8-12 lakh10%
₹12-16 lakh15%
₹16-20 lakh20%
₹20-24 lakh25%
₹24 lakh above30%

This restructuring will provide a major relief to the middle class, which is expected to significantly reduce their tax liabilities.

Streamlining of TDS and other reforms:


The budget also proposes to simplify tax deduction at source (TDS) by reducing rates and limits. Other major reforms include measures related to leasing, remittances, higher education, the sale of property, and the criminalization of certain offenses to promote ease of doing business.

Relief for the middle class:


The new tax regime, along with reduced tax rates and a zero tax limit for income up to Rs 12 lakh, is expected to significantly benefit the middle class in India. The budget aims to increase disposable income and boost consumption, which will provide a much-needed boost to the economy.

Key findings of the 2025 budget:

Fiscal deficit: The fiscal deficit is estimated at 4.8% for FY25, which is expected to come down to 4.4% in FY26.

Jan Vishwas Bill 2.0: Over 100 provisions will be decriminalized to improve the investment climate. An investment-friendly index for states will also be launched in 2025.

Revised duty rates: Seven additional duty rates will be abolished, leaving only eight rates in force.

Interest-free loans to states: An allocation of Rs 1.5 lakh crore has been announced for 50-year interest-free loans to states for capital expenditure and infrastructure development.

Customs duty exemption: Basic customs duty on 36 life-saving drugs and medicines has been completely waived to make healthcare more affordable.

Budget 2025 focuses on providing tax relief to the middle class, simplifying the tax structure, and boosting economic growth through policy reforms. With measures like zero tax on income up to Rs 12.75 lakh and streamlining of TDS, the budget aims to improve the disposable income and overall economic well-being of citizens.

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