every time there's an open AI product release now it feels like there's a

bunch of startups waiting with baited breath to see whether open AI is going

to kill their startup this is actually a really uh crazy moment for all startups

adding more types of modalities and more capabilities uh per model the the better

off every startup is you have to be on top of these announcements and be kind

of know what you're going to build in anticipation of them before someone else

does versus being worried about open AI or Google being the ones to build

[Music] them welcome back to another episode of

the light cone I'm Gary this is Jared Harge and Diana and we're some of the

group Partners at YC who have funded companies that have gone on to be worth

hundreds of billions of dollars in Aggregate and today we are at an

interesting moment in the innovation of large language models and that we've

seen a lot of really new tech come out just in the last few weeks whether it's

GPT 40 it's uh Gemini 1.5 Harge how are you thinking about you

know what does it mean for these models to be so much better anytime I see a new

announcement from one of the big AI companies with the release of a new

model the first thing I think about is what does this mean for the startups and

in particular YC startups and when I was watching the open AI demos it was pretty

clear to me that they are really targeting consumer like all of the demos

were cool consumer use cases and applications which makes sense that's

kind of what chat gbt was was a consumer app that went really viral I just wonder

what it means for the consumer companies that we're funding and in particular

like how will they compete with open AI for these users what did you think like

even if we take it back like how do consumer products win from like first

principles like is it more about the product or the distribution and how do

you compete with open AI on either of those things yeah that's a great

question I mean I think ultimately it's both and then uh how I want it to be is

that the best product wins uh how it actually is is Whoever has the best

distribution and a sufficiently good product seems to win either way I

actually think we're at sort of uh in this moment where the better the model
becomes if you're already using four and suddenly four you know you can uh change

one line of code and suddenly be using 40 uh you basically just get smarter by

default every generation and that's really really powerful it means that you

I think we're entering this moment where the the IQ of these things is still you

know four is arguably around 85 it's not that high and then if the Next

Generation if CLA 3 really is at 100 or you know the next few models end up

being closer to you know 110 120 130 this is actually a really uh crazy

moment for all startups and uh the most interesting thing is like uh adding new

capabilities so having the same model be great at coding for instance uh that

means that you know you might have a breakthrough in reasoning not through

just the model reasoning itself but you could have the model actually write code

and have the code do better and even right now it seems like there's um a lot

of evidence that if instead of trying to prompt the model to do the work itself

you have it right code and you execute the code it can actually do things that

reasoning alone could not do so adding more types of modalities and more

capabilities uh per model the the better off every startup is I mean the cool

thing about uh 40 is that you can get better structure output in this

particular case they are better at getting Json which is getting signs of

getting large language models not just outputting English but more language for

computers so that you can build even better applications on top which is

signaling that this better model can be better for startups and make it easier

to integrate because one of the challenges for startups has been always

coing LMS to Output the right thing so you're actually process it in regular

business Logic the other thing I kind of thought about when I was looking at the

demos is as it relates to startups if only one of these companies has the most

powerful model by some distance then that is indeed bad for startups because

you have to depend on them being friendly and having like a nice API for

you to build on top of if there are multiple equivalently powerful models

you're much safer off as a startup it was funny maybe coincidental maybe not
that like open AI announcement was like what two days before one day one day

before Google's right um what's the difference between the so under the hood

the way that GPT 40 works and then Gemini 1.5 works and do you have any

opinions on their relative strengths yeah so the

thing about 40 why was so interesting it was adding the speech modality and also

video processing on top of a text and the way they do that is still primarily

a text based Transformer model underneath basically GPT 4 and what they

done is bootstrap and added modules so that it has different caths to handle

this different type of data open AI famously also implemented and launched

whisper which is one of the state-of-the-art for automatic speech

recognition and probably that's what they're doing they took the architecture

of a whisper and then bolted it into GPT 4 and they also bolted dally and they

combined these and that became 40 so this is why in terms of the reasoning

capabilities 40 isn't better per se than four by any margin so it's how it works

it's kind of adding modules how they describe it on the white paper the

difference versus Gemini 1.5 which actually on the technical aspects and

merits I'm actually more excited by the Gemini one I know it's counterintuitive

because 40 and open AI has captured the zist of everyone and they're so good at

the demos Right singing Happy Birthday a bit off key that's like so humanid happy

birthday to you happy birthday to you happy birthday dear Jan happy birthday

to Jordan Google IO kind of missed the mark

in terms of demo but in terms of reading their white paper what's interesting

about Gemini 1.5 is that is actually a true mixtures

of expert and that is a technique that's new where they actually train from the

ground up a giant model with the actual data of teag

image audio and the whole network activates a specific path for these

different data types so instead of um the open AI model that has like kind of

modules this one truly is a one all model and what it does is different

parts of the network activate depending on the data input so it becomes very

energy efficient and I think the reason why uh Google was able to do it is
because they have the engineering Hammer they have tpus where they can really

afford to put a lot of data because it's very expensive to put not just all Texs

image and video and train this giant thing in a distributed cluster they have

TPU is like their I think it's their fifth generation now and it's pretty

cool what they done is that the first big model release that's using mure

experts I think they talked a bit about it on the previous BN but everyone was a

bit uh disolution after the demo of the duck was not real it is a duck yes but

this one was described better I mean the interesting thing is that I think this

time they learned their lesson and I think is actually working yeah and the

other cool thing about Gemini is uh it has a contact window of a million tokens

which is huge the GPD 40 is 128,000 so imagine what you can do with that

because that's about like five books of 500 words or more and the cool thing

about the Gemini 1.5 was their white paper has to saying that on Research

they proved it to work on a 10 million token window which brings a question for

all of you what does that mean for startups especially a lot of the

startups that we're funding with infrastructure that do a lot of rack

there could be the controversial argument that uh all these startups

building tooling around rack which is a whole industrial right now maybe they

become obsolete what do you all think about that I feel like the people who

care a lot about data privacy and whe the data is stored are still going to

want some sort of rag system right like they want the data stored somewhere they

control it versus all in the context window it's not clear that that's going

to be the biggest part of the market like in general people who care this

much about any behind the scenes architectural thing tend to be like

early adopters but not like Mass Market consumer so my guess is people just want

like a massive context window because then you can start building the kinds of

consumer apps people are excited about right like the assistant that just has

all this context on me that knows everything about me like currently I

think the best way you can do that is you like

run olama or one of these open source models and then you like throw a bunch

of your like personal emails at it that's like a project that the hobbyists

on Reddit are doing a lot of is just try and get like your personal AI That's got

all the information on you but if you had like a infinite context window you

would need to do all of that I think you'd still need rag to be able to sort

of uh store everything and that's like sort of the long-term permanent memory

and then what you actually want is a separate workflow to pull out the

interesting things about uh that user and their intentions and then you

actually have a little like summary bullet point of things that you know

about the user you can actually kind of see some version of this even now in

chat GPT if you go into the settings under 40 it actually now has a memory

and so you can actually see a concrete version of this inside chat GPT I was

just using it to sort of generate some like where's Waldo uh images for my son

and uh it wasn't quite doing what I want wanted it kept using like making like

really deformed faces so I kept like prompting it back to back I was like no

no no I really want no deformed faces and then for a while it was like uh I

said I wanted a red robot in the corner and it kept making uh all of the

characters like various forms of red and I said no no no I really don't want you

to do it and I you know sort of repeated it four or five times and then I went

and looked at my settings and it was like Gary really doesn't want deformed

faces in his uh generous ated images we should also try not to use red it was

interesting to see that like literally from even like maybe 10 or 15 different

chat interactions um you know I was getting frustrated but it was definitely

sort of developing some sort of memory based on uh my experience with it and

the most interesting thing was that uh you could see what the machine had like

sort of pulled out from your interactions thus far and you could like

sort of delete it as necessary maybe a infinite window doesn't necessarily mean

that the retrieval is actually accurate yeah and this is more I mean more

anecdotal in practice from what Founders have told us versus what the actual

research paper Benchmark is which is a very kind of lab setting so in practice

I do tend to agree that a rag pipeline infrastructure still very much needed

exactly for what you said privacy and people wanting to fine-tune models on

their own data and not getting that licked out over the wire over the

internet and the other thing is um yeah maybe there still more accurate to do it

on your own when you really want that very precise information I think you

still need Rag and I think the analogy I like to think about this is sort of like

um processors back in the day in the 90s as uh when mlaw was actually Mo law

scaling it was not just a CPU processing speed getting faster but also memory

cache levels were also getting bigger and bigger but now more than 30 years

later we still have a very complex architecture with how we do different

kinds of cashing for retrieving data out of like databases out of databases you

have maybe like a fast memory store with like Reddit for high availability and

then you still have things stored in your browser cach there still very much

lots of layers of how things will be cached and I think rag is going to be

this foundational thing that will stay and it'll be like how we work with

databases normally now just like lots of levels yeah yeah the tricky thing about

the context window I mean uh Gemini may have the team may have already fixed

this by now but certainly a lot of the Founders I talked to they said uh it's

sort of you know the million token context window sort of lacks uh

specificity literally uh if you ask for retrieval from its own context window

from you know or the prompt it actually sometimes just like can't seem to recall

it or can't seem to you know pick out the specific thing that you already fed

into it and uh the tricky thing there is like you'd rather have a 128k context

window that you knew was pretty Rock Solid rather than a system which where

you know it's still a bit of a black box you don't really know what's going on

and then for all you know it's just like sort of randomly picking up like half a

million of the tokens and that you know again like probably fixable you know I

can't imagine that that's like a permanent situation for you know uh a

million or 10 million uh token context window but something that we're seeing
from the field for now also in Enterprises like in business use cases

people care a lot about like what specific data is being retrieved who's

doing it like logging all of this stuff and permissioning around data so yeah

you can imagine having some kind of yeah a giant context window is not

necessarily what you want in Enterprise use case you actually probably want in

particular sensitive data stored somewhere else and retrieve like when

it's needed and know who's making the requests and filter it appropriately

exactly I think that will that will stay I was really encouraged what you said

actually about how the Google technology is maybe better than the open AI itself

it feels very googly actually it's like hey they've got the technology but they

just like don't know how to get like the Polish around it correct that means open

AI does not have this like Leap Forward unsalable Tech Advantage if Google has

something comparable then we should expect to see like anthropic come in we

should expect to see like meta come in and what we're seeing at the batch level

is just the models are pretty abstracted out right on a day-to-day basis like

Founders are already using different models to prototype versus like build

and scale like the ecosystem of model routers and

observability Ops software around this stuff just keeps progressing really

quickly so just funny my initial reaction whenever I hear like the model

releases is not to worry for the startups actually so much because

they're all like we never talk about how Alliant they are on any one model I

worry if there's one model that's very very good and it'll be dominant and sort

of take over the world uh I'm less and less worried if there are many different

uh alternatives because then you have a market and a Marketplace equals uh you

know non- Monopoly pricing which means that uh you know 1,000 flowers can

actually Bloom like other startups can actually make choices and uh have gross

margin of their own and I'd much rather see you know thousands of companies make

a billion dollars a year each rather than you know one or two let alone seven

companies worth a trillion dollars and I think we have a dark horse that is yet

TBD we don't know when Lama 3 with 400 billion parameters comes out because
that's still being trained and that's like one that's like wow it could really

turn tables as well yeah the interesting thing about meta is I mean they have Pro

probably one of the largest clusters uh certainly I think I was reading um you

know in terms of who has paid Nvidia more money in the past year uh meta

apparently is number one by by um a a decent bit actually and the funny thing

is they have this giant cluster not because they necessarily have foreseen

this whole shift that happened recently in the last

couple years with large language models they acquire lots of gpus because they

needed to train their uh recommendation models right that use actually similar

architecture with de deep neural Nets to actually compete with Tik Tok because to

build these like really good recommendations on Instagram regs that's

just like very classic Tech Innovation and disruption right like they're

basically worried about competing with Tik Tok they stop a bunch of gpus and

there turns out the gpus are just really valuable for this like completely

different use case that's going to change the world Jared like on that note

if you zoom out just like how does this cycle of hey like we're worried startups

are worried about the elephant in the room this case it's open AI maybe Google

competing and crushing them how does it play out to when we first moved out here

even like in that like era where Facebook was Rising Google was starting

to go from the search engine company to like the multi-product company do you

see any similarities or differences yeah it reminds me of that a lot like um

every time there's an open AI product release now it feels like there's a

bunch of startups waiting with baited breath to see whether open AI is going

to kill their startup and then there's all this internet commentary afterwards

about like which startups got killed by the latest open AI release and it

reminds me a lot of when we got to YC the the the three of us and the like

2005 to 2010 era there were all these companies who were innovating in the

same idea space as Google and Facebook building like related products and

services where the big question was always like what happens if Google does
this and when starts were pitching to investors that was like the main like a

big question that they'd always get from investors is like oh like but isn't

Google gonna do this the best response to that by the way was like well what if

Google gets into VC which it did that's a great VC on so a lot of the people who

are building AI apps now this is the first hype cycle they've ever been in

but we've all been through multiple hype cycles and so I think it's interesting

actually for the people who are in the middle of this hype cycle now where all

this is new to look back on the past hype cycles and see how the history of

what happened there can inform their decisions about what to work on if we

take Google as an example one thing that's interesting is if you look back

there was there was competing with Google in a very head-on way which was

hey we're going to build a better search engine um and YC definitely funded a lot

of companies trying that and I feel like the approach people would go after was

the vertical engine was say we're going to build a better Google for real estate

for example um some of those made it did they I which on well you could I mean

argue that um something like a red finin or Zillow clearly did have vertical

access to data and then or kayak for travel I guess or algolia for um company

Enterprise search search yeah that's true okay those yeah I hadn't thought of

yeah I hadn't thought of Zillow as a search engine but yeah it's essentially

that it's exactly that it's Vertical Search yeah but you have to monetize not

necessarily through the same way a search engine would you have to have

other services you have to become uh a broker you have to you know basically

make money in all these other ways CET different it doesn't look at all like

Google yeah and the data Integrations is very different like you have to really

poke and connect to MLS and a regular search engine would you wouldn't just

work with that like page rank wouldn't necessarily work with MLS yeah red Fin's

very interesting because I'm very addicted to red fin and it has actually

absolutely caused me to buy property that I normally wouldn't buy so uh you

know in that respect like those are interesting consumer scenarios

ultimately a great consumer is actually about buying just like a little bit of
someone's brain such that during the course of one's day I mean it doesn't

have to be every day but ideally it is you sort of think to use it and no one

of those companies would have said that they had better techn ol or they beat

Google on technology right like anyone who went up head head on against Google

for like the better general purpose search engine just got crushed and in

general most of the vertical search engs didn't work and certainly nothing that

looks anything like Google worked the the ones that I remember the most were

more ones that were in the vein of Google apps like when Google expanded

Beyond search and started launching Google Docs and sheets and slides and

maps and photos and all all these all these like like separate apps there were

a lot of companies that we funded y that were either going to be crushed or Not

by the next Google product yeah that's like the Santa Casa when you can bundle

software in I mean this like this is what Microsoft did to Netscape right

like once you can start bundling in software especially in the Enterprise

it's like people don't necessarily want to buy like 10 different solutions from

10 different vendors all the time if you can offer a good enough product across

several different use cases and ble them together Enterprises often want that I

mean famously uh Dropbox was in that R potential Rogue kale right because and

Drew because Drew actually talks about it when he comes back and give the

dinner talks about the fear when with Google Drive and Google hats his other

product Carousel thing right yeah in fact there is a time when um Dropbox had

launched this was after the batch and Google was working on Google Drive but

hadn't launched it was called G drive it was like the secret project inside of

Google and news of it leaked to the press and the whole world just decided

that like drop boxes Goose was cook like it was over Google was going to launch G

drive and because it was Google they had infinite money they were going to do the

same move that they're doing now who just throw like infinite money at the

product and give away like infinite storage for free how could have start to

possibly compete with Google you know spending billions of dollars to give
away infinite storage for free that was infinite tokens yeah and now it's

infinite tokens what are the big companies trying to do right now that

maybe you should avoid doing and uh the super obvious one is well uh open AI

seem to have released 40 which is multimodal and then it also

simultaneously released the first version of the desktop app but that

version of the desktop app is merely uh sort of a skin on the web experience but

if you put two and two together surely it's going to look a lot more like her I

mean they've been really sh Scarlet voice they just pulled that right yeah

they're like oh shoot you know who knows are they getting sued who knows that's

that's what Twitter says today anyway but I think if you you look at the

details of that you know you can sort of sketch out what's going to happen with

um llms on the desktop and the desktop is sort of has access to all your files

has access to not just that but all of your

applications uh it has access to your IDE locally it has access to your

browser uh it can do transactions for you that's starting to look like

basically the true personal assistant um that is directly consumer and then that

sounds like a whole category like you know we're going to interface with

computers and using potentially voice and certainly like ex we will have the

expectation of a lot of smarts and uh that you know that seems like where

that's where they're going and that's going to be one of the fights when I was

thinking back to like this first era of companies I guess one thought I had is

that it was fairly predictable actually what Google would build not 100%

predictable like Dropbox was like it was like unclear if Google would win that

space But like a lot of them are actually pretty obvious in hindsight um

like adtech for example like all of adtech just like never stuck around

because it was like too strategic to Google and Facebook and so they just had

to own all of it and like almost all of vertical search just didn't really

survive it's pretty easy to imagine what the next version of open AI like product

releases is going to be and if you can easily imagine that what you're building

is going to be in the next open AI release you know maybe it will be using
that framework it's like open AI really wants to capture just like the

imagination like the Sci-Fi imagination of everyone so it's like yeah like the

general purpose AI system that you just talk to and it figures out what you want

and does everything it seems hard to compete with them on that that's like

competing with Google on search right that's clearly going to be like the the

core because that was the early signs of why what chat gbt is being used for as

well just like a very very rudimentary right yeah which is the same thing with

Google they always wanted to own products where billions of people

would all use the same product anything that was like that was going to be

really tough as a startup yeah when I think of it for products I use like

perplexity norwi company but plexity is a product I use a lot because it's much

better for sort of research if I need to fix a toaster it's way easier for me to

type in like the model of the toaster into perplexity and get back like

specific links and YouTube videos just the whole workflow it was Diana who told

me about it actually I've been using it a lot as a replacement for actually my

regular search yeah that's what I never I was trying to use perplexity for a

while and I couldn't get it and I was because I was trying to use it in the

same way I would use like the open AI the chat gbt app and I was like oh but

like chb is just so much better because I just like type in fuzzy things and it

figures it out and it comes back with smart things and perplexity just wasn't

as good for that use case but the specific hey I have this task that I

want like Source material back and links for it works much much much better it

doesn't capture the imagination right like open AI is not going to like

release a model that they demo the oh look like if you search it like gives

you the links back or it like shows you the YouTube videos that it's referring

to the demo is not as cool actually Gemini 1.5s has that feature and nobody

really talks about the demos from yeah from Google iio they're kind of like so

maybe one way to figure out how not to be roadkill is to like if you can build

the valuable but unsexy thing that open ey aren't going to demo on stage because
it doesn't like capture the Sci-Fi imagination you might survive yeah

that's definitely a whole line of thinking like Google was never going to

do instacart or door Dash's business so or ubber so all of that was fair game

and all of those turned out to be you know decacorn or you know potentially

you know even Airbnb like hundred billion dollar company the other thing

people always under estimate is just I think the size of new markets I remember

for a long time people didn't believe LinkedIn could be a big company because

like well like why CU like Facebook won social networking linkedin's just a

social network it's just going to be a like you have your work tab on your

Facebook profile like why would you need something else same thing with Twitter I

remember um when I first moved to San Francisco in 2007 some of the first

people I met were the early Facebook employees and they were like they saw

Twitter growing and they're like ah yeah we're going to like release stus updates

or something and just like Twitter's going to be done as just a feature but

yeah it turned out like Twitter was like a whole other thing instacart and door

Dash I think another great example of this again I remember iPhone comes out

Android becomes pervasive it's like oh there it's just going to be like Apple

and Google dominate mobile but there were all these things that they would

never build same in this AI World probably right there's all these things

that the big companies are never going to build and we probably have more

appetite for using multiple AI agent type apps than just like the one open AI

one and a huge like meta category that is basically almost anything that's B2B

like Google basically never built anything B2B they like basically only

Built Mass consumer software and so if you look at the YC unicorns like a ton

of them built you know some like B2B thing like you segment or something that

like Google was never going to build segment that's just like not interesting

to them I want because I think in B2B people really underestimate the human

part of it like so much of it is actually the sales machine and it's

being willing to go out and figure out who you sell to do the sales like Listen

to Someone Like give you all the things they're unhappy about and note them down
and take them back to your engineering team and say oh yeah we need to like

tweak this this and this and this and all these details right like and build

lots of like really detailed software to like handle

all these obscure edge cases like I think of one of our AI companies at YC

that's doing really well is called permit flow and they literally just

expedite the process for applying for construction permits and not just for

individuals but for like big construction companies now as well it's

like yeah like really hard to imagine that being the next open AI release

right like hey guys we built a a feature for for filing your construction permits

like can you yeah can you imagine turning up for your first day work as an

open AI engineer and they're like okay you're going to work on the construction

permit workflow feature they think it works that way well I guess if you join

those two ideas together something interesting happens though it seems sort

of inevitable sometime in the next two to five years you know assuming the open

AI her digital assistant comes out and then it's going to be on your desk top

it will actually know everything about you uh it'll know what you're doing and

know it'll know minute to minute what task you're trying to complete and then

it's conceivable you know if you masch that with sort of a launch that I think

they probably didn't invest enough into which was like the GPT store um you

could sort of imagine that might extend into B2B as well and then they would

sort of charge that Vig but I think the the thing that I don't think is going to

work for B2B actually is I think there's a lot of sensitivity ity around the

workflows on the data because they're highly proprietary especially with

spaces with fintech and Healthcare I mean for good reasons they should be

very regulated and a lot of privacy data to Pro protect the consumers so I think

the other area that we've been having also success for AI B2B applications has

been in fintech we found that green light that's doing kyc using AI to

replace all the human behind that does a lot of the validation of consumer

identities or we also have a green board right right they both start with green
green board that was also doing a lot of the compliance things for banks as well

yeah Bronco is doing it in AR and there are a bunch of more companies doing

things in payments and just any of the boring dayto day that you know someone I

mean is sort of wrote doing it Um this can just basically supercharge that and

you know have one person do the work of 10 yeah we call this episode better

models better startups I think that is literally true for B2B companies where

it's like the underlying models like B2B software business models are so much

about how do I upsell like how do I make more money per customer next year than I

did this year and it just hey like every time the model gets better you can just

pass that along as like an upsell premium feature or an upgrade to the

software and your end user doesn't care right like they just care about what the

function the software can do for them and so I think there's a world where the

models keep getting better you've got your choice of which one to use and the

additional functionality you just charge Ms your customers for and you make more

money yeah that's definitely what we're seeing at YC I mean last batch people

were making $6 million a year right at the beginning of the batch and it end up

being north of 30 million by the end of the batch so that's some really

outrageous Revenue growth in a very very short amount of time three or four

months and that's sort of on the back of what uh you know a few people working on

B2B software you know they can focus on a particular one that makes a lot of

money and then people are willing to Fork out a lot of cash if they see Roi

pretty much immediately there's not as many Founders working in this area as

there should be given the size of the opportunity like like to your to your

point har like people often underestimate how big these markets are

like using llm to automate various jobs is probably as large an opportunity as

SAS like all the SAS combined right because like SAS is basically the tools

for the workers to do the jobs the AI like equivalent of SAS is like it it

just does the jobs tool plus the people yeah so like it should be just as large

and yeah there should be like a lot more

people working on this so there might be you know billions to trillions of

dollars per year going into uh transactional labor Revenue that's on

someone's uh you know sort of you know cash flow statement right now but it'll

turn into software Revenue at 10x which will be interesting for market caps over

the next 10 20 years I was doing office hours with a startup this morning that

asked me this question about hey like you probably saw the GPT for for launch

like should we be worried about it um yeah my reply was you should be worried

about it but you should be worried about the other startups that are like

competing with you because ultimately it's all of the stuff we're talking

about it's whoever builds the best product on top of these models with all

the right nuances and details is going to win and that's going to be one of the

other startups in the space so I just think the meta thing as a startup now is

you have to be on top of these announcements and be kind of know what

you're going to build in anticipation of them before someone else does versus

being worried about open AI or Google being the ones to build them let talk a

little bit about uh consumer because we did talk about what could be potentially

rill for Consumer startups if you're going against basically assistance some

sort of assistant type of thing opening eyes hinting well strongly direct and

they're going in that direction what about opportunities for Consumer AI

companies what are those those things that they could flourish well here's an

edgy one anything that involves legal or PR risk is challenging for incumbents to

take on Microsoft giving money to open aai in the first place you could argue

was really about that I mean when image models image diffusion models first came

out at Google they were not allowed to generate the human form for uh PR and

legal LK risk reasons this is a large part of what created the opportunity for

open AI in the first place as Google was too scared to jeopardize their Golden

Goose by releasing this technology to the public the same thing could probably

be true now for startups things that are increasingly edgy are often the places

where there's great startup opportunities I mean things like uh

replica AI which was a AI NLP company working in this space for many years
even before llms were a thing still one of the top companies doing the AI

boyfriend or girlfriend and the wild thing about replica is that they've been

in touch with uh their sort of AI boyfriend or girlfriend for many years

and earlier we were talking about you know a million token context window you

can imagine that virtual entity knowing everything about you like for many many

years like even your you know deepest darkest secrets and desires I mean

that's pretty wild stuff but um you it's going to look weird like that and um you

know people might not be paying attention I mean character AI has really

really deep retention and people are sort of spending hours per day sort of

using things like that so you know whatever happens in consumer it might be

nonobvious and and it might be very weird like that so there's a lot of kind

of more edgy stuff around uh deep fakes that are applied in different different

spaces so there's a company that you work with Jared Infinity AI right yeah

Infinity AI lets you turn any script into a movie and that movie can involve

famous characters and so like enables you to make famous people say whatever

is in your mind which is edgy which is part of what makes it like interesting

and cool Google would never launch that would never launch that and I think even

you know the the same move that open AI did to Google which is being willing to

release something that's really edgy well open AI is now the incumbent guys

they now can't release super edgy stuff like that anymore we're going to see a

lot of that during election season in particular right because it's

interesting when you think about it like anything that's on the hey like I is

explicitly like a famous person this is explicitly using the likess of a famous

person for a profit is is going to get shut down on the other hand you have

like I If I make a meme with Will Smith and some like a caption like no one's

going to sue me for that and a lot of this content is like right in the middle

right it's like I'm not trying to build like a video that's literally I want

people to believe that it's like these people saying these things but what if

it's like a joke about a joke or a satire like where does that fit and yeah

you can't see you can't imagine Facebook or is going to roll this out on
Instagram anytime soon right like they want it they want to stay well clear of

that but you're already seeing this version of memes sort of 2.0 that are

basically deep fixed that are making the rounds and they're becoming viral tweets

right yeah hey why don't we clar out by going to a question that one of our

audience asked us on Twitter um so thank you sandip uh for this question question

is what specific update from open a Google meta excited each of you and why

I'll give one um the thing that really excited me about the open AI release was

the emotion in the generated voice and I didn't realize how much I was missing

this from the existing text to speech models until I heard the open AI voice

oh a bedtime story about robots and love I got you covered once upon a time in a

world not too different from ours there was a robot named bite it's amazingly

better compared to the incumbent Texas each model because it actually knows

what it's saying the existing ones by contrast sound so robotic they like

they're totally understandable but they're just very boring to listen to

and the open AI one it felt like you were talking to a human my one was the

translator um demo the idea of basically having a

live translator in your pocket it's personal for me because I my wife is

Brazilian her parents don't speak English and so I've been learning

Portuguese but it's coming along very slowly the like the idea of having just

like a translator that's always in my pocket that makes it easy for me to

communicate with anyone anywhere in the world is really exciting hey how's it

been going have you been up to anything interesting

recently it's a massive idea I mean it could change the world you could go live

in a foreign country where you don't speak the language it it like it is huge

consequences yeah Douglas Adams uh hitchhiker Guide to the Galaxy uh made

real is a pretty cool one I guess for me um what's funny about 40 is it sounds

like maybe it was actually just a reorg basically there was a reor get open Ai

and they realized uh they want all of the teams rowing in the same direction

and then uh what that means is probably really good things for both their
assistant desktop product uh but also eventually robotics which um might be a

really big deal down the road this Chinese company called unry announced a

$116,000 human biped robot though Twitter warns me that it's another

$50,000 if you actually want open API access previously they made a

$114,000 version of that robot um but I think unified models means more and more

likelihood that practical robotics is you know actually not that far away

famous last words of course we've been saying that uh pretty consistently for

many years in a row but this time it's different I think for me maybe a bit

more of a tech technical one I know it doesn't sound too too fancy but really

the half the cost is like a huge thing and if you extrapolate that what that

means is probably a lot of these models are hitting some kind of ASM totic

growth of how much better they can get which means also that they're becoming

more stable and it can open up the space for actual custom silicon to process all

of these and enable a lot more low power processing to enable Robotics and build

the device that you mentioned and actually have it in your packet and not

be Ted to the Internet so all these things that we could perhaps see uh

excitement of new tech product releases because I kind of missed those day when

every product Tech demo was like very exciting now it's just like kind of like

a feature true we could be excited about new things coming up well we're going to

be really excited to see what you guys all come up with that's it for this week

we'll see you next time [Music]

n [Music]