Kevin O'Leary says AI-driven 'tenderization' will reshape warfare

1 min read     Updated on 15 Jul 2026, 12:56 PM
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Reviewed by
Shriram SScanX News Team
AI Summary

Shark Tank investor Kevin O'Leary predicts that AI and precision weapons will define future military strategy through a process he calls 'tenderization.' This method aims to weaken adversaries via targeted pressure without large-scale warfare. O'Leary's comments align with warnings from the Five Eyes alliance and insights from defense tech CEOs regarding AI's role in modern conflicts.

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Shark Tank investor Kevin O'Leary stated that future conflicts will be defined by artificial intelligence, precision weapons, and advanced defense systems. He argued that these technologies allow the U.S. to pressure adversaries without relying on traditional large-scale warfare. O'Leary emphasized that this shift reduces the necessity for widespread casualties while maintaining strategic compliance.

O'Leary Details AI-Powered Warfare Strategy

In a post on X on Tuesday, O'Leary described a future warfare strategy he termed "tenderization." He argued that AI-powered systems could allow countries to weaken an opponent’s capabilities through sustained, targeted pressure. "If Iran doesn’t want to play ball, they will be tenderized into compliance," O'Leary wrote.

He explained that the approach involves "highly specific ordinance, satellite-controlled, AI-driven, predictive analysis on everything you need." O'Leary noted that these technology and operations would be managed from U.S.-based infrastructure. "You don’t have to kill a lot of people. You don’t wanna do that," he said, arguing that precision weapons and AI could reduce the need for traditional warfare methods. "This is going to be a new type of warfare. This is called tenderization," he added.

O'Leary also called for greater investment in AI-powered defense systems. "That’s what we need in America. That’s what I’m building, and that’s what every other developer’s gonna have to build," he stated.

AI Reshaping Cybersecurity And Modern Warfare

Earlier, the Five Eyes intelligence alliance warned that rapid AI advances could accelerate cyberattacks. The alliance stated that adversaries could use AI to identify vulnerabilities, generate malicious code, and automate operations faster. They urged organizations to prepare within months rather than years.

XTEND CEO Aviv Shapira said the future of defense technology could rely on AI-powered platforms. These platforms would connect drones, robots, and autonomous systems across manufacturers. Shapira described XTEND’s vision as an "Android of robotics" designed to unify defense hardware through software.

Palantir CEO Alex Karp said AI was providing the U.S. and its allies with a strategic advantage. He argued that AI was transforming modern warfare by improving intelligence sharing and battlefield coordination amid rising Middle East tensions.

How might adversaries evolve their military strategies to counter or bypass AI-driven 'tenderization' tactics?

What are the ethical and legal implications of relying on AI for targeted military operations without human oversight?

How will increased investment in AI-powered defense systems impact the allocation of resources within the U.S. defense budget?

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EV prices fall 4.5% as buyers shift to affordable segments

2 min read     Updated on 15 Jul 2026, 11:44 AM
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Reviewed by
Radhika SScanX News Team
AI Summary

New-vehicle prices held steady in June as buyers gravitated toward more affordable segments, with the average transaction price increasing less than 1% year over year to $49,758. Sales volume rose 7.6% year over year, driven by strong demand for subcompact SUVs and small/medium pickup trucks. Electric vehicle prices declined for the sixth consecutive month, with Tesla reporting a marginal price drop.

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New-vehicle prices held steady in June as buyers gravitated toward more affordable segments, according to data released by Kelley Blue Book. The average transaction price (ATP) for a new vehicle increased less than 1% year over year to $49,758. Vehicle sales volume was healthy, rising 7.6% year over year, with the seasonally adjusted annual rate (SAAR) reaching 16.5 million, the highest point in 2026.

Industry Pricing Trends

The industry ATP of $49,758 represents a 0.6% increase year over year and a 0.4% rise from the upwardly revised May ATP. Prices have remained below $50,000 throughout 2026 after peaking in December 2025 at $50,609. The new-vehicle manufacturer's suggested retail price (MSRP) was $51,654 in June, mostly unchanged from the revised May MSRP of $51,366. Year-over-year MSRP growth moderated to 0.9%, well below the long-term average annual increase of 3.4%.

Incentive spending in June was 7% of ATP, up from 6.9% in June 2025 but down from 7.1% in May. Automakers have maintained discipline on incentives, which have averaged 7% of ATP over the past 13 months. Incentives remain elevated for full-size pickups and luxury vehicles.

Segment Performance

Buyers shifted toward lower-priced segments, helping hold down the industry-wide sales-weighted ATP. Sales of subcompact SUVs increased by more than 23% year over year, with an ATP of $31,113. Small/medium pickup truck sales jumped 12.3%, while full-size pickup sales increased only 2.5%.

The top five best-selling segments accounted for 63% of total industry sales. Transaction prices in these segments were:

Segment ATP Year-Over-Year Change
Midsize SUV $49,792 Up 2.2%
Compact SUV $37,707 Up 3.7%
Full-size pickup truck $66,427 Up 2.1%
Subcompact SUV $31,133 Up 2.3%
Compact car $27,978 Up 2.4%

Erin Keating, Executive Analyst at Cox Automotive, noted that consumers are no longer waiting for uncertainty to disappear. "The strength of midsize SUVs, with sales up more than 16% year over year, shows that consumers are gravitating toward the center of the market where value, utility, and affordability intersect," Keating said.

Electric Vehicle Market

Electric vehicle prices declined year over year in June for the sixth consecutive month. The average price paid for a new EV was $56,238, down 4.5% from a year earlier. EV incentives remain elevated at 13% of ATP, well above the industry average of 7%.

Tesla prices increased slightly in June to $53,107 but were lower year over year by 2.1%, the smallest annual decline in 2026. Model Y prices were down 2.7% to $51,775, with Model Y sales accounting for more than 35% of all electric vehicle sales.

Will the sustained high incentive levels on electric vehicles continue to pressure overall industry profitability as market share grows?

Can automakers maintain pricing discipline on full-size pickups and luxury vehicles if inventory levels begin to rise significantly?

How will the shift toward more affordable segments impact manufacturer margins and product development strategies for the remainder of 2026?

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