Top stories today:

1. Anthropic launches Claude 3.7 Sonnet, hybrid AI model
2. Elon’s Grok global daily visits hit 4.5M days after Grok 3 debut
3. Bitcoin falls below $90K as crypto selloff accelerates
4. DOGE said to use AI to evaluate federal workers’ weekly submissions
5. Perplexity teases web browser Comet

0. Data and calendar

Listen to our AI-generated podcast summarizing today’s newsletter (beware of hallucinations):

1. Anthropic launches Claude 3.7 Sonnet, hybrid AI model to take on OpenAI, DeepSeek

Claude 3.7 Sonnet surpassed OpenAI’s o1 and o3-mini, and DeepSeek R1 on the SWE-bench verified, per Anthropic:

• Claude 3.7 Sonnet’s comparison with o3 and Grok 3 has yet to appear.

• $3/M input and $15/M output token price, vs. o3-mini’s $1.10/M input and $4.40/M output, and DeepSeek R1’s $0.55/M input, $2.19/M output price.

• Extended thinking mode to switch between reasoning and near-instant responses.

• Available across all Claude plans and through the Anthropic API, Amazon Bedrock, and Google Cloud’s Vertex AI.

• Thinking mode is not a part of the free tier, though.

Claude 3.7 Sonnet has successfully defeated 3 Pokémon gym leaders in the Game Boy classic, Pokémon Red

Claude Code tool has been released in limited access to offer agentic coding

• Aimed at test-driven development, debugging complex issues, and large-scale refactoring.

Relatedly, Anthropic is reportedly raising $3.5B at $61.5B valuation

• Lightspeed Venture Partners, General Catalyst, Bessemer Venture Partners, and MGX are said to be part of the new round.

• $1.2B annualized revenue was recently achieved.

New AI models have delivered faster performance with significantly lower costs

3. Elon’s Grok global daily visits hit 4.5M days after Grok 3 debut

• +376% in Grok.com daily visits in the U.S. to 900K.

• +260% in U.S. DAUs on the Grok’s app last week.

• Global DAUs 5x’d week-on-week.

4. Bitcoin falls below $90K as crypto selloff accelerates