What's next for Open AI

3x valuation, hardware device and less Microsoft money.

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Daily Digest #250

Hello folks, testing a new format today - hit reply with ‘better’ or ‘worse’ for your vote!

here’s what we have today;

  1. OpenAI’s newest valuation - $90Billion

  2. How to use AI to get better at email - Read now

  3. Microsoft’s plans beyond OpenAI

 Pick 

OpenAI, the AI ‘startup’ behind ChatGPT, is seeking a new valuation of up to $90 billion.

What's going on here?

OpenAI aims to triple its valuation from earlier this year.

What does this mean?

OpenAI's valuation is skyrocketing thanks to ChatGPT's popularity and its expected billion-dollar revenue this year. OpenAI is in talks to allow employees to sell existing shares to investors, which could value the company at $80-90 billion—almost triple its earlier $29 billion valuation.

Why should I care?

This new valuation triples its previous from earlier this year, making it one of the most valuable global startups.

You might also like: Sam Altman wants to make hardware AI now - Renowned iPhone designer Jony Ive and OpenAI CEO Sam Altman have been in talks about collaborating on a new consumer AI hardware device. We’re betting on an ‘Alexa’-style gadget rather than a phone…

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 Pick 

How to use AI to get better at email

If I want AI to help me with one thing, it’s email - getting lost in threads and even finding the right d**n message!

We walk through how you can use AI to help with all of that, using Shortwave.

Shortwave is a new email assistant that uses LLMs extensively. They store all your emails in a vector database so search is much more powerful than the awful experience you’re used to.

 Cool Tools  trending product launches from the last 24 hours

  • Shopify has made an SDXL background replacement tool for product images on HuggingFace.

  • Copilot by CommandBar - Embedded AI assistance that contextually teaches users and completes actions on their behalf.

  • Buildship - Build backend code, APIs and schedule jobs easily with AI.

  • Whoop Coach - WHOOP unveils first wearable with AI coaching for personalized performance recommendations.

  • OpenLM - A simple and minimalist PyTorch codebase for training medium-sized language models.

  • Open Interpreter - New OI, rebuilt from the ground up based on generators.

  • Ollama for Linux - Run LLMs on Linux with GPU Acceleration.

 Pick 

Microsoft is focusing on its plans beyond Open AI by directing internal researchers and resources to make smaller models that can take the place of GPT-4 in relevant situations.

What’s going on here?

Microsoft wants to build its own advanced AI to reduce costs and dependence on OpenAI.

What does this mean?

Microsoft is directing its researchers to create conversational AI models that perform nearly as well as OpenAI's but are much smaller and cheaper to run. This in-house AI is already being tested by Microsoft's Bing team for features similar to ChatGPT. Orca and Phi models from Microsoft are likely the results of the same push.

The goal is to save on the ballooning compute costs of large AI models. Even though Microsoft has invested over $10 billion in OpenAI for exclusive access to its tech, unchecked costs from widespread use could get out of hand fast. Smaller "distilled" models that mimic the capabilities of behemoths like GPT-4 can help control expenses while providing customers with powerful AI features.

Why should I care?

This gives Microsoft options beyond OpenAI to deliver performant and affordable AI products. It's a smart business move to avoid overreliance on external partners, however fruitful the relationship may be currently. Plus having in-house alternatives puts Microsoft in a better negotiating position with OpenAI down the road.

 developers 

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