Berkeley and Adobe researchers developed an AI image editing tool. Agtech startup Growers Edge raised $40M. Facebook patented a hand-tracking system for VR applications. Here's what went down in artificial intelligence this week. Become a CB Insights customer.

Microsoft has acquired Snoqualmie, Wash.-based Orions Systems for an undisclosed amount. Orions Systems makes AI-powered vision systems, and its founder, Nils Lahr, has worked on imaging, content distribution network (CDN), and streaming media services. "Orions Systems has developed a strong reputation and leading technology for organizations seeking to gather and analyze high-value data specifically in the areas of video and image content. The acquisition will bring additional technologies that will allow solutions like Dynamics 365 Connected Store and the Microsoft Power Platform to offer retailers and other organizations a way to build and train their own AI models to customize and optimize how they can learn from their physical space. This extra set of tools will deliver on scenarios beyond what is offered out-of-the-box today and can adapt to the truly unique dimensions and needs of their physical spaces," said Microsoft Dynamics 365 Corporate Vice President Muhammad Alam in a July 7 blog post announcing the deal.