Podcast Summary
Considering the costs and timing implications when making late bids for businesses: Late bids for businesses can offer higher prices, but it's crucial to consider potential costs and timing implications before making a decision.
Even established players in the industry can make late bids to acquire successful businesses, but it's essential to consider the potential cost and timing implications. Jake shared an experience where Rupert Murdoch's Fox made a late bid to buy his company, Web Logs, after Jake had already secured a deal with AOL. Despite the offer being significantly higher, Jake declined, understanding that the price wasn't the only factor. This anecdote highlights the importance of considering the timing and potential costs when making business decisions. Additionally, the discussion touched upon the growth of companies like Mid-Journey, which went from zero to $200 million in revenue without any venture capital. This demonstrates that open-source projects can be leveraged to build successful businesses, but not all aspects of the business need to be open-source. Lastly, the hosts discussed making mid-year predictions and bets about the future of AI in 2024. They will be making five bets, with over-under stakes, based on trends and topics they've covered throughout the year. These predictions serve as a reflection of their insights and perspectives on the current state and future potential of AI.
Discussing the potential of AI in music creation and a bet on its first entry into the top 100: Group is betting on AI creating a top 100 song, discussing latest advancements, past examples, and implications if it happens, revisiting in six months, also discussing New York Times lawsuit and implications for industry.
A group of individuals are making a bet on whether a top 100 billboard song will be created entirely by AI within the next six months. They plan to discuss the latest advancements in AI-generated music and past examples like the alleged Drake collaboration. The group believes no 100% AI-generated song has reached the top 100 yet, and they'll discuss the implications of this development if it comes to pass. In six months, they will revisit the bet and discuss the New York Times lawsuit regarding AI and technology. They'll also have a granular discussion on the topic if time allows. The group is excited about the potential of AI in music creation and the implications it may have on the industry.
AI's unlikely path to Billboard success: The music industry's control and artists' leverage make it unlikely for AI to generate music and lyrics to reach the Billboard 100 without human intervention or significant marketing efforts.
While it's technically possible for AI to generate music and lyrics to make it into the Billboard 100 chart without human intervention, it's unlikely to happen anytime soon due to the music industry's control over the chart and artists' leverage within the industry. The music industry acts like a dictatorship, deciding what music makes it to the top, and artists like Taylor Swift, Beyonce, and JZ have shown they have more power over the platforms than the platforms have over them. It's also important to note that even if an independent song makes it to the chart, it's often due to significant marketing and promotion efforts, which AI currently cannot replicate. Therefore, while AI can generate music and lyrics, it's not a guaranteed path to Billboard success.
The Music Industry and AI in Business: The music industry operates like a cartel, but tools like Mirro's digital whiteboarding software can help founders improve their pitches and collaborate effectively. AI is being experimented with as a potential VC, raising questions about its authenticity and potential impact on the industry.
The music industry continues to operate like a cartel, with some people allegedly using underhanded tactics to gain access and control. However, there are tools and resources available to help founders improve their pitch decks and collaborate with their teams effectively, such as Mirro's digital whiteboarding software. Additionally, there's an ongoing experiment to create an AI version of a VC, which could potentially fool audiences into thinking it's a real person. The music industry's inner workings and the potential of AI were the main topics of discussion during the episode. The speaker expressed his thoughts on the music industry's cartel-like nature, sharing stories of people being pressured into signing over royalties. He also mentioned the benefits of using Mirro for remote teams, allowing for more effective collaboration and creative brainstorming. Lastly, there was a discussion about creating an AI version of a VC and testing it on an unsuspecting audience. The goal was to see if the audience could tell the difference between the AI and a real person. Overall, the episode touched on various topics, from the inner workings of the music industry to the potential of AI in the business world.
Creating undetected AI content: A challenge: Attempting to generate undetected AI content, such as a podcast segment or a Pixar short, can be successful but requires careful consideration and experimentation due to the unique challenges of replicating human performance and maintaining authenticity.
Using AI to create undetected content, such as a segment in a podcast or a short film from Pixar, can be a successful yet challenging endeavor. The bed is a segment where one person talks about a topic without a guest. The plan is to release it on Twitter and gauge reactions from the audience to determine if they notice the AI involvement. However, the uniqueness of Jason's voice and cadence makes it difficult for AI models to perfectly replicate him. In the case of Pixar-level AI content, there are various approaches, including using image and video models, but achieving a high-quality result that matches the standard of Pixar may be a significant challenge. Overall, while there's potential for success, the unique challenges of replicating human performance and maintaining authenticity require careful consideration and experimentation.
The line between movies and TV shows is blurring: Advancements in technology and production value make movies and TV shows indistinguishable, opening new possibilities for storytelling and audience engagement.
The line between movies and TV shows is becoming increasingly blurred, especially in terms of special effects and production value. Shows like "Andor" and "Mandalorian" from Star Wars, and "Monarch" on Apple TV, boast special effects and production quality that are on par with movies. In fact, it's becoming difficult to distinguish between the two. This trend is not limited to science fiction and fantasy genres, as seen in the Godzilla series and even in animated content like SpongeBob. The closure of this gap is a significant development in the entertainment industry, as it opens up new possibilities for storytelling and audience engagement. Furthermore, advancements in technology, such as AI and CGI, are enabling creators to produce high-quality content with unprecedented efficiency and cost-effectiveness. Overall, this shift towards indistinguishable movie and TV content is an exciting time for entertainment consumers, as they can look forward to more immersive and engaging experiences across various platforms.
Exploring untapped potential in beloved film characters: Consider creating content around underrepresented characters or exploring new storylines for popular ones. In business, look for innovative solutions like NetSuite to streamline processes and boost growth.
There's a wealth of untapped potential in creating content based on beloved characters from popular films. The speaker suggests taking on the challenge of creating a short film about underrepresented characters, using the example of Anton Ego from "Ratatouille" and his childhood experiences. Another idea is to explore the possibility of Woody from "Toy Story" having a child. These ideas can inspire new content and potentially lead to recognition and success. Additionally, the speaker encourages expanding horizons and trying new things, especially in business, where processes can become time-consuming and inefficient. A solution like NetSuite, which offers a single source of truth and streamlined financial management, can help businesses grow and improve margins.
NetSuite offers a free KPI checklist and TinyLama, a new small AI model that runs on local devices, were discussed.: NetSuite provides a free KPI checklist for business performance. A new AI model, TinyLama, with one billion parameters, can run locally for faster response times and reduced internet reliance, but not all models can be trained locally.
NetSuite offers a free KPI checklist for consistent business performance at NetSuite.com/twist. Meanwhile, in the world of AI, a new model called TinyLama was released, which is small, fast, and was trained using accessible compute resources. This model, with one billion parameters, can run on local devices like M3 Macs for inference, a process where the model uses input data to produce results. Unlike training, which requires significant resources and time, inference can be done locally on your computer. TinyLama was trained using 16 A100 chips, which are not as powerful as the latest NVIDIA chips, but still capable of impressive results. This shift towards running models locally, instead of relying on powerful servers, offers benefits like faster response times and reduced reliance on internet connectivity. However, it's important to note that not all models can be trained locally, especially larger ones with more parameters. The future of AI might involve a balance between cloud computing and local processing, offering both the power and flexibility needed for various applications.
The Power of the Free Market in Addressing the Digital Divide: The free market's preference for Starlink as a solution to the digital divide saves the government money and provides a great contract, demonstrating its power in driving innovation and solving pressing issues
The free market is likely to determine the best solution for addressing the digital divide, despite any political objections or alternatives. The speaker uses the example of Starlink, which is seen as the best option even though some may prefer installing fiber lines. The market's preference for Starlink is evident in its availability at Costco and mass appeal. The speaker also acknowledges the reality of the digital divide and the potential for a fair use of government funds to help bridge it. However, the speaker argues that the free market can save the government money and provide a great contract. Ultimately, the success of Starlink demonstrates the power of the market in driving innovation and providing solutions to pressing issues.
Ensuring Fairness and Societal Benefits of Broadband Access: Investing in broadband access for rural areas is essential for societal fairness and benefits, as it's a collective responsibility to fund essential infrastructure like electricity, clean water, and education.
While some may argue against government subsidies for broadband access in rural areas due to libertarian beliefs, it's important to consider the fairness and societal benefits of ensuring all Americans have access to essential infrastructure like broadband. The speaker suggests that a small additional cost for the majority could help bridge the gap for those who cannot afford it themselves. This is a common practice in society, where we collectively fund essential services like electricity, clean water, and public education. The speaker also acknowledges the efforts of companies like SpaceX, Amazon, and Hughes in providing low-earth orbit satellites for broadband access. Additionally, the speaker promotes Vanta as a solution for SOC 2 compliance for businesses, emphasizing the importance of this compliance for securing major deals.
Apple and Google's advancements in AI for image identification and manipulation: Apple uses open-source technology for language model 'FairModel' in Apple Photos, while Google leverages advanced chips for AI capabilities on devices. Competition between tech giants drives AI innovation.
Both Apple and Google are making significant strides in the field of artificial intelligence, specifically in image identification and manipulation. Apple, with its latest release of a language model called "FairModel," is using open-source technology to enhance its Apple Photos app. Google, on the other hand, is utilizing its own advanced chips to improve AI capabilities on its devices. This push for AI advancements is a response to the increasing importance of AI in various industries and the growing competition between tech giants. These developments also highlight the importance of entrepreneurial decisions, such as Apple's shift to creating its own silicon, in driving technological innovation.
Jake's Entrepreneurial Journey: From Gadget to Inside.com: Jake sold gadget to AOL for millions, regrets not keeping it, now working on AI-driven Inside.com, excited about AI's potential in practical consumer applications, envisions AI-powered glasses for easier navigation
During the early days of web logging, Jake sold his company, gadget, to AOL for a substantial amount, despite offers from other big names like The New York Times and Fox's Rupert Murdoch. Jake's first 10 million dollars was a game-changer for him, and he believes that if he had kept gadget, it could have grown into a significant business. Now, Jake is working on a new project called Inside.com, which he thinks will be his best editorial product yet. He's also exploring the use of AI in this project. In the conversation, Jake and his friend discussed a bet they made regarding Google's announcement of a new product bundled with a phone device. Jake expressed his excitement about the potential of AI in practical consumer applications, mentioning AR/VR and crypto as less important by comparison. He also shared his vision of using AI-powered glasses to identify and provide information about the world around him, making navigation easier. Overall, the conversation highlights Jake's entrepreneurial spirit, his belief in the power of technology, and his ongoing pursuit of creating innovative editorial products.
AR technology set to revolutionize information sharing: AR to make saving, accessing info easier. Multimodal models may surpass ChatGPT by 2023, understanding visual info.
The future of technology is headed towards more immersive and interactive experiences, particularly in the areas of augmented reality (AR) and multimodal models. AR technology is expected to revolutionize the way we bookmark and share information in the real world, making it easier to save and access information on the go. The discussion also touched upon the potential of multimodal models becoming the most popular models on the planet by July 1st, 2023, surpassing the popularity of existing models like ChatGPT. The demonstration of a project called Lava, a large language and vision assistant, showcased the capabilities of multimodal models in understanding and interpreting visual information, suggesting that they have the potential to displace existing models. Overall, the conversation highlighted the exciting advancements in technology and the potential impact they could have on our daily lives.
Language models can reason and interpret context: Language models can understand and reason based on context, making them capable of more than just knowledge retrieval. They can describe images, determine impractical scenarios, and provide cautions or warnings.
Language models like Jake are not just regurgitating information or rewriting text, but they are also interpreting and reasoning based on their understanding of language and context. This was discussed during the conversation about how language models can describe an image and then use their reasoning capabilities to determine if certain actions are practical or not. For instance, if presented with an image of a person ironing on the back of a moving car, the model can understand that this is an impractical scenario due to its knowledge of driving and ironing. This reasoning ability makes language models impressive and capable of more than just knowledge retrieval. It's important to note that this understanding and reasoning is based on the vast amount of training material the model has been exposed to. Additionally, language models can provide cautions or warnings based on context, such as advising appropriate footwear when visiting a pier over a lake or being mindful of weather conditions. Overall, the reasoning aspect of language models is a significant advancement in AI technology and adds to their impressive capabilities.
Fair Compensation for Publishers in the AI Era: Publishers should have the right to opt out and set pricing for AI usage of their content, potentially generating significant revenue through licensing fees.
The value of content created by publishers, such as the New York Times, should be recognized and fairly compensated in the era of AI and language models like OpenAI. The discussion suggests that publishers should have the right to opt out and set their own pricing, with a proposed fee of $1 per user per year for licensing. This could potentially generate significant revenue for publishers, allowing them to continue producing valuable content. The analogy was drawn to the early days of the internet, where the top publishers could have made Google worthless by refusing to be indexed. Overall, the conversation emphasizes the importance of fair compensation for content creators in the rapidly evolving digital landscape.
Shifting to recurring yearly fees for content access: Considering recurring fees for continuous content access encourages fairness, incentivizes creators, and maintains value for AI models
Creators and owners of content, particularly in the age of advanced AI models, should consider shifting their business models from one-time licensing fees to recurring yearly fees. This approach not only ensures continuous revenue but also encourages fairness and incentivizes creators to continue producing content. As technology advances and models become capable of reasoning and accessing information directly, the value of having access to fresh, up-to-date content for AI models may outweigh the cost, making recurring fees a more attractive option for both parties. Additionally, for creators with a large amount of data whose collections continue to grow, providing ongoing access to new content may be essential to maintaining the value and relevance of their models.
Respecting Intellectual Property Rights in AI-Generated Content: AI models should respect intellectual property rights, and creators deserve fair compensation for their original work and derivative creations.
Content creation and intellectual property rights hold significant value, and it's crucial for creators to be fairly compensated for their work. The New York Times lawsuit against ChatGPT and other AI models highlights the issue of value extraction and the impact on content creators' businesses. The speaker's personal experience with using these AI models to find information and unintentionally accessing copyrighted material underscores the importance of respecting intellectual property rights. Moreover, the speaker emphasizes that generating derivative works, such as creating characters or memes, should be considered part of the original creator's intellectual property and should be compensated accordingly. The nuances of copyright law and fair use are essential to understand, as creating and charging for tools to generate copyrighted material can lead to legal issues. In summary, the discussion underscores the importance of respecting intellectual property rights and ensuring that content creators are fairly compensated for their work. The use of AI models and derivative works raises complex legal and ethical questions that need to be addressed to maintain a fair and sustainable ecosystem for content creation and consumption.
Ethical implications of AI models built on stolen data: Concerns about unfair profits from AI models built on stolen data, potential for media companies to compete with open source models, and ethical complexities in the use of AI models.
The ethical implications of using AI models built on large amounts of data, particularly when that data is owned by other entities, is a complex issue. The speaker in this conversation expressed concerns about OpenAI selling shares based on their AI model, which was potentially built on stolen content, leading to unfair profits for the employees. He also suggested that media companies like The New York Times could compete with AI models by fine-tuning open source models with their own data. However, the speaker also acknowledged the complexity of the situation and the need to clarify previous statements. He also mentioned the potential for high damages in court due to the commercial value of successful AI models. The speaker also shared his personal experience of having to choose between subscriptions to different AI chat models and suggested that Apple's subscription model could be a potential solution. Overall, the conversation highlighted the need for careful consideration of the ethical implications of AI models and the potential for media companies to compete in this space.
Enhance value proposition with additional content or services: Apple TV Plus could increase customer satisfaction and sustain revenue for content creators by offering more value through strategic partnerships and innovative pricing models
Apple TV Plus could enhance its value proposition by offering additional content or services at an affordable price as part of a family subscription. This could include partnerships with reputable brands like The New York Times or Disney, creating a more compelling deal for consumers. Apple TV Plus is already seen as a great value, but by adding more content or services, it could further distinguish itself in the market and increase customer satisfaction. This could also provide a sustainable revenue model for content creators. Overall, the key takeaway is that strategic partnerships and innovative pricing models can significantly boost the value of a streaming service.
