. . AI: OpenAI Unveils GPT-4o: A Breakdown of This Year's Biggest Day in AI (5.13.24)

Today's newsletter is a bit different. We have a diverse audience, and it's clear that the information gap between pioneers and the mainstream media is growing. Sometimes, we need to highlight what's just below the surface. OpenAI's release today was spectacular for many reasons, most of which weren't immediately apparent, mentioned by OpenAI, or covered by mainstream news. We'll dissect some of these and provide a brief breakdown of why they matter. Plus, there's more traction in the rumor mill about Apple's partnership with OpenAI and a new humanoid robot that costs less than a Toyota Yaris!

Also, a quick administrative update: we've decided to change the cadence of our newsletter from daily to weekly. This lets us deliver a hyper-curated roundup of the AI news that really matters and its implications, so you can stay informed without the clutter. If there's a breaking story you can't miss, we'll make an exception and fill you in immediately. Thanks for keeping up with us!

OpenAI Launches GPT-4o And It's Much More Than Meets The Eye

First impacted: Everyone!
Time to impact: Short

OpenAI has launched GPT-4o, now available in ChatGPT, which integrates text, audio, and vision processing in real time. We recommend checking out the demo video. OpenAI also highlighted that the new models ranked as 'GPT2' on the Lymsys chatbot leaderboards, which attracted a lot of attention and speculation. These models achieve a +100 ELO rating over previous models (which is a scoring model originally used for Chess players), representing a 64% win rate against the next closest models (which is a significant increase in win rate percentage of 78%). It accomplishes this in as little as 232 milliseconds, operating at twice the speed and half the cost of GPT-4 Turbo. Here are some highlights we found particularly impressive:

Reasoning: This is something that the AI community has been anticipating eagerly. The ability to break down a problem into its subcomponents and plan on how to solve them is crucial. There is a significant increase in the model's 'logic' capability which received little coverage to date.

Desktop App: OpenAI has shown they are masters of tech and distribution. The ability to distribute their future products and functionality to desktops will be an amazing channel because they won’t be restricted to a web browser or mobile anymore. Having the ability to watch, learn, and interact with a user’s workstation will be pivotal in expanding their value to users.

Multimodality: The ability to see and hear is a huge leap forward, and more important than it initially seems. If it can see the world, it will soon be able to see your computer screen. Once it can do that, it will have the potential to help you interact with your daily work. What does that mean? We are much closer to a world where AI can manage the flow of information and productive work than meets the eye.

On Mobile: In every pocket and focusing on consumer-led distribution first, OpenAI has really dominated the consumer market in this respect. The more users they get, the better the intent data and the better the model, creating a flywheel effect that will serve them well in the years ahead.

Latency: The final limiting factor to pulling all this off was it feeling natural. To do all of the above in a reasonable turnaround time is an engineering feat that will be underappreciated. The engineering and algorithmic optimization required to achieve this is nothing short of a marvel.

What does this potentially change? Most industries. It's a bigger change than GPT-4 was from GPT-3 and GPT-3 was from GPT-2. It's also confirmation that we are still on the exponential development ramp. The foundation is set to change most of our day-to-day routines, including search (yes, Google), communication (the 2013 movie Her example isn't lost on anyone), education, etc. We hope you are as excited about today's update as we are! [twitter.com] Share this story by email

Unitree Launches G1 Humanoid Agent that Costs Less Than Toyota Yaris

First impacted: Everyone!
Time to impact: Short

Unitree has launched the G1 Humanoid Agent, a $16,000 AI-driven robot that boasts up to 34 joints and advanced joint movement, designed to enhance sports capabilities, according to the company. The robot features AI-controlled dexterous hands capable of precise operations, potentially broadening its application in automating physical labor. [via @UnitreeRobotics] Share this story by email

Rumors of Apple and OpenAI partnership Continue to Grow

First impacted: iPhone users, privacy-conscious consumers
Time to impact: Short

Rumors are enduring that Apple is nearing a partnership with OpenAI to integrate ChatGPT technology into its upcoming iOS 18, focusing on user privacy by potentially processing data on-device. This collaboration could introduce a new chatbot feature for iPhones while maintaining Apple's commitment to privacy. [twitter.com] Share this story by email